Flynn Gold Limited (ASX:FG1) has delivered a 3.7-tonne bulk sample from its Golden Ridge Gold Project in northeast Tasmania to the Henty Gold Mine in western Tasmania, where processing testwork will be carried out to assess how the material performs under Henty's plant conditions, the company announced on 6 October 2026.

The delivery follows a non-binding Ore Purchase Agreement signed with Henty Gold Pty Ltd, a Wholly Owned Subsidiary of Kaiser Reef Limited (ASX:KAU), which operates the Henty mine. According to Flynn Gold, the agreement establishes the framework and indicative commercial terms under which Henty may purchase ore or concentrates supplied by Flynn for processing through its existing gold plant.

What the testwork involves

The bulk sample consists of quartz-sulphide vein material exposed by trenching at Golden Ridge. It was taken to the company's Scottsdale depot for grade variability assessment and preliminary metallurgical testwork.

In that earlier sighter programme, 12 sub-samples returned an average grade of 10.54 grams per tonne gold and an average cyanide gold extraction of 94.9% using a LeachWELL bottle roll test, the company said.

Flynn Gold cautioned that LeachWELL test conditions are more intensive than typical carbon-in-pulp or carbon-in-leach processing, and that the samples were tested at a fine grind. While the results indicated positive gold leachability, the company said further testwork is required to establish recoveries under potential commercial processing conditions.

The Henty technical team will now conduct kinetic leach and other tests designed to simulate the plant and determine expected recoveries. The company described this as an important step in determining whether Golden Ridge material can be successfully processed at Henty. About 100 kilograms of the sample will be set aside for gravity separation and crushing testwork.

Managing director and chief executive Neil Marston said: "Should this testwork prove successful, we will seek government approval to provide larger quantities of similar material from Golden Ridge for trial processing through the Henty gold plant."

He added that processing through Henty "has the potential to significantly reduce upfront Capital requirements while accelerating the pathway towards production from our Tasmanian projects."

Project background

Golden Ridge hosts intrusion-related gold mineralisation over a 9-kilometre zone along the southern contact of the Golden Ridge Granodiorite, according to the company.

Resource drilling at the Brilliant prospect is ongoing, with four of 21 approved drillholes completed and assays pending.