Critical Resources (ASX:CRR) strengthens Otago footprint with rock and pillar acquisition

Critical Resources (ASX:CRR) has deepened its presence in New Zealand’s Otago goldfields, securing 90 per cent of the Rock and Pillar prospecting permit application adjacent to its Cap Burn project.

The move consolidates roughly 10 kilometres of strike along the Cap Burn Fault, a structural corridor that has yielded both historic alluvial gold and modern exploration upside.

Highlights

• Acquisition: 90% of Rock and Pillar permit, covering 331km² in Otago.

• Strategic consolidation: Secures ~10km of strike along Cap Burn Fault, immediately south of the drill-ready Cap Burn Project.

• Geological pedigree: Located ~11km from OceanaGold’s 10Moz Macraes operations.

• Historic and modern evidence: Past workings produced +80,000oz gold in 18 months during the 1860s; legacy assays include antimony grades up to 54.8% Sb.

• Exploration pathway: Drill program at Cap Burn slated to commence once ministerial approvals are finalised, expected in October.

The transaction extends Critical Resources New Zealand landholding to nearly 1,800 square kilometres across six projects, with a focus on gold and antimony.

The Otago Schist Belt is increasingly recognised as fertile ground for orogenic systems, particularly after Santana Minerals’ Rise and Shine discovery at Bendigo-Ophir, which delivered more than 2.3 million ounces in resource definition.

CEO Tim Wither described the deal as a strategic step to secure down-plunge potential and ensure the company can fully test mineralisation continuity.

“This agreement was an important strategic step to secure the down-plunge potential of the Cap Burn system and ~10km of contiguous strike along the prospective Cap Burn Fault, enabling the Company to fully test mineralisation continuity,” Wither said.

The Rock and Pillar area has seen only limited modern exploration despite its proximity to Macraes, with previous efforts centred on arsenic-in-soil anomalies.

These programs confirmed gold mineralisation but left the main Cap Burn structure largely untested.

The acquisition terms are modest: an initial $50,000 cash payment, followed by milestone-based share or cash payments tied to exploration success and permit conversions.

Euro Gold, the vendor, will retain a 10 per cent interest free-carried until a final investment decision, at which point it may convert to a 1.5 per cent royalty.

For shareholders, the low-cost entry secures a district-scale position in a jurisdiction rated 12th globally for investment attractiveness by the Fraser Institute.

With the New Zealand government pushing to double mineral exports over the next decade and introducing fast-track approvals, the timing appears advantageous.

The Cap Burn drill program, expected to commence in the December quarter, will be the first modern test of the down-plunge extensions beneath a substantial arsenic anomaly.

Should results mirror those at Rise and Shine, Critical Resources will have positioned itself in the front seat of New Zealand’s next gold revival.

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