Lefroy Exploration (ASX:LEX) advances into mining phase at Lucky Strike

Lefroy Exploration has moved decisively from development into execution at its Lucky Strike Gold Mine near Kalgoorlie, marking a tangible shift in the company’s operating profile as mining activity gathers momentum through December.

The first three weeks of pre strip mining at the Stage 1 pit have delivered measurable progress on site, reinforcing the company’s stated objective of transitioning shallow, high grade gold resources into near term cash generation under a profit share mining model.

Highlights

• Mining has commenced strongly at the Lucky Strike Gold Mine near Kalgoorlie in Western Australia
• 253,400 Bank Cubic Metres of pre strip waste material have been mined from the Stage 1 pit
• First ore intersection remains targeted by the end of December, with ore haulage planned for January 2026
• A second waste dump has been commissioned and site office and administration facilities are complete
• Ore haulage in January is scheduled to support the inaugural toll milling campaign in February 2026

The Lucky Strike deposit represents the first asset to move into production under Lefroy’s low cost profit sharing strategy.

The deposit hosts a Mineral Resource Estimate of 1.27 Mt at 1.95 g/t Au for 79,600 oz, comprising 0.70 Mt at 1.93 g/t Au for 43,400 oz in the Indicated category and 0.57 Mt at 1.97 g/t Au for 36,200 oz in the Inferred category.

Mining operations are being undertaken by profit share partner BML Ventures, following agreements executed in February 2025.

Operationally, December has been marked by steady progress across both material movement and site infrastructure, with the initial waste dump established earlier in the month and a second north western waste dump cleared during the second week of December to maintain continuity in pre strip operations.

Office and administration facilities have also been completed, reducing operational bottlenecks as the project approaches first ore.

Lefroy CEO, Graeme Gribbin, commented:
“Momentum at Lucky Strike is building, with a strong first three weeks of pre-strip-mining activities completed. With first ore intersections anticipated by years end, we are excited at the realisation of the commencement of ore haulage in January 2026, as the Company completes the next steps towards being the district’s newest gold producer.”

From a funding perspective, Lefroy Exploration reports that it remains fully funded into 2026.

In December, the company received a second cash advance instalment of $0.75 from BML Ventures under the Profit Cash Advance Facility Agreement announced in July 2025.

The total facility provides up to $2.5 across four quarterly instalments in FY26 at a fixed interest rate of 8%, supporting mining activities ahead of profit share distributions expected in the first half of 2026.

Beyond Lucky Strike, Lefroy retains a broader gold portfolio across the Lefroy Project area in the Kalgoorlie and Kambalda districts, with Mt Martin and Burns previously identified as additional assets that may be advanced under similar profit share arrangements, subject to further work.

As the year draws to a close, Lefroy’s transition from explorer to miner is now visible on the ground.

The coming months will be defined by the delivery of first ore, commencement of haulage and toll milling, and the conversion of physical progress into operating outcomes, all within a project framework designed to limit upfront capital exposure while maintaining leverage to gold production.

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