Nagambie Resources (ASX: NAG) Share Price Tumbles: Key Reasons Behind the Fall

Sonal Goyal

20 October 2026 03:07 PM AEDT

Nagambie Resources (ASX: NAG) Share Price Tumbles: Key Reasons Behind the Fall

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Key highlights

Nagambie Resources (ASX:NAG) shares fell 33.33% to $0.012 during the Trading session on 20 October 2026.
The company released Alkane Resources’ results for the first three diamond holes at the Nagambie Mine, with assays up to 24 g/t gold and 30.9% antimony.
Alkane can earn 60% or 80% of the joint venture tenements by spending $12.5 million or $27.5 million.

During the trading session on 20 October 2026, shares of Nagambie Resources Limited (ASX:NAG) fell 33.33% to $0.012. The company also released an announcement that day, which passed on a 23-page report from Alkane Resources Ltd covering the first three diamond holes drilled under the Alkane-Nagambie earn-in joint venture at the Nagambie Mine in Victoria. This article reports the two events as stated in the documents and does not link them.

About Nagambie Resources Limited

Nagambie Resources explores for epizonal-style, high-grade antimony and gold mineralisation across a 718 square kilometre tenement holding in the Waranga Domain of the Melbourne Structural Zone in northern central Victoria. Its flagship is the Nagambie Antimony-Gold Project at the Nagambie Mine, located near the gold-antimony operations at Fosterville and Costerfield and the Sunday Creek development project.

The company also holds the 100%-owned historic Whroo mines and the Wandean deposit, and a free-carried 50% interest in a joint venture to develop a 300,000 tonne per annum oxide-gold processing plant on freehold land within the Nagambie Mine.

Alkane diamond drilling results

The Alkane report covers the first three diamond holes, ADD001, ADD006 and ADD013, drilled, logged and assayed under the earn-in during the September 2026 quarter. The highest gold assay was 24 g/t in ADD001, and the highest antimony assay was 30.9% in ADD013.

According to the report’s program summary, high grades were encountered in the C3 and C2 veins, which support earlier drilling results, and the C2 zone was intercepted a further 115 metres below its previously known extent. The company says the gold-antimony mineralisation is open to the east, west and at depth.

Earn-in joint venture terms

In April 2026 Alkane and Nagambie entered an earn-in joint venture over the Nagambie Mine tenements MIN 5412 and EL 5511. Alkane can spend $12.5 million to earn 60%, or $27.5 million to earn 80%. Alkane’s first target is to significantly increase the Nagambie JORC Inferred Resource, which stands at 539,000 tonnes averaging 3.9% antimony and 3.3 g/t gold. That equates to 20,800 tonnes of contained antimony and 58,000 ounces of gold, as announced on 15 November 2024.

Alkane’s Costerfield Mine, with its mine development and processing infrastructure, is about 40 kilometres west of Nagambie by bitumen road.

Other projects

Nagambie is also exploring Whroo, 20 kilometres north, where shallow antimony veins were mined in the 1800s, and the Wandean oxide-gold deposit, 5 kilometres north, where antimony is anomalous over about 750 metres of strike. A 2021 diamond hole under the Balaclava Hill open pit intersected up to 49.7 g/t gold over 0.6 metres and 16.5% antimony over 0.2 metres. Separately, the oxide-gold plant is described as fully permitted, with the joint venture partner finalising funding to start construction.

Sector backdrop

Antimony is used in flame retardants, batteries and other industrial applications, and is classified as a critical mineral in several jurisdictions. Victoria’s Fosterville and Costerfield operations have made the region a focus for gold-antimony explorers, and drilling results are typically followed by resource updates before development decisions.

Earn-in joint ventures with larger operators allow junior explorers to advance projects without funding all work themselves.

Risks shareholders should weigh

The reported assays are from three holes, and the peak values quoted are single assays that do not represent average grades across a deposit. The existing resource is in the Inferred category.

Nagambie’s interest in the joint venture tenements will reduce if Alkane earns 60% or 80%. The oxide-gold plant has not started construction because the partner is still finalising funding. Nagambie’s share price of $0.012 fell 33.33% on 20 October 2026, reflecting the high Volatility at very low prices.

What’s next

Nagambie said it looks forward to Alkane further extending the gold-antimony mineralisation in the December quarter. Alkane’s first target is a significant increase to the Inferred resource, and the joint venture partner for the oxide-gold plant is still working on funding.

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