Adavale Resources Limited (ASX:ADD) phase 2 drilling confirms high grade continuity and depth extension at London Victoria

Managing Director David Ward addresses the technical and geological implications of the Phase 2 drilling program at the London Victoria Gold Mine, where the Company has reported its highest grade gold intercepts to date from positions below the current pit floor and within zones previously modelled at materially lower grade in the existing JORC 2012 Mineral Resource Estimate.

The discussion focuses on grade continuity, structural controls, resource growth potential and the technical work programs underway to support further definition and expansion of the mineralised system.

What do the latest Phase 2 drilling results indicate regarding grade continuity and depth extension at London Victoria?

The Phase 2 drilling program has returned the highest grade intersections recorded by the Company at London Victoria, with ALRC018 intersecting 14m at 2.62g/t Au from 133m and ALRC020 intersecting 23m at 1.64g/t Au from 142m, both positioned approximately 30m vertically below the current pit floor and within the same mineralised shear that hosts the existing JORC 2012 Mineral Resource.

From a geological perspective, these results demonstrate that the gold system continues with both thickness and improved grade at depth and, when considered alongside the consistent intercepts from ALRC015, ALRC016 and ALRC025, confirm that mineralisation is continuous below the pit and remains open down plunge and along strike.

“The location of the highest grade intercepts approximately 30m below the pit floor, within the same mineralised shear that defines the existing resource, demonstrates that grade continuity is maintained at depth and that the system remains open both down plunge and along strike.”

The position of these intercepts within areas previously modelled at lower average grades further indicates that the current resource envelope does not yet fully reflect the grade distribution now being defined by drilling, while the repeated intersection of the same structural corridor across multiple sections confirms that the deeper portions of the system contain coherent, laterally continuous mineralisation capable of supporting further resource growth.

How do the new intercepts compare with the existing Mineral Resource Estimate and what is their potential impact?

The intercepts in ALRC018 and ALRC020 occur within parts of the deposit previously estimated at approximately 0.65g/t Au to 0.75g/t Au, yet they have returned materially higher grades over significant widths, including internal higher grade intervals such as 4m at 3.46g/t Au and 2m at 5.17g/t Au in ALRC020.

ALRC025 further intersected 31m at 0.71g/t Au from 151m, including 6m at 1.39g/t Au, and also returned mineralisation toward the end of hole, indicating potential footwall lode development below the current resource shell.

“Drilling has returned grades several times higher than those modelled in the corresponding portions of the existing JORC 2012 Mineral Resource Estimate, which, when incorporated into a future update, are expected to both add ounces and materially improve grade distribution in the deeper parts of the system.”

These results provide a direct technical basis for refining the resource model, particularly within the down plunge extensions where drilling density has historically been limited and where the new intercepts demonstrate both thickness and grade continuity.

What is the significance of the outstanding assays and how do they fit into the current geological model?

Assays remain pending for 7 of the 12 Phase 2 holes, representing 1,476m of drilling, including holes designed to test the mineralised shear both down dip and along strike of the current high grade intersections.

Of particular relevance is ALRC026, which intersected the interpreted down dip continuation of the mineralised zone approximately 32m below ALRC020 on the same section, together with ALRC019 and ALRC021, which were drilled to provide infill and continuity information between the pit floor and the deeper intercepts.

“The outstanding 1,476m of drilling, including down dip and infill holes within the same structural corridor, will further constrain grade continuity and thickness and provide additional support for potential resource growth once assays are received.”

These results will be integrated into the evolving geological and resource models to refine the definition of the mineralised envelope ahead of the Phase 3 drilling program.

What technical work is planned to support resource growth and targeting beyond the current drilling results?

The next phase of technical work at London Victoria will focus on detailed pXRF based geochemical logging to refine lithological discrimination between the host andesite and sedimentary sequences and to map geochemical variations within the mineralised shear, together with the incorporation of newly acquired structural data to continuously update the three dimensional geological and resource models.

In parallel, further airborne or ground based magnetic survey planning is underway in light of the observed association between magnetic responses and gold mineralisation, with these datasets intended to assist in refining plunge projections and improving drill targeting along the structural corridor.

“The integration of geochemical, structural and magnetic datasets is expected to enhance targeting accuracy along the interpreted plunge and strike extensions of the shear, thereby supporting systematic definition of additional mineralised zones in Phase 3 drilling.”

Resource growth pathway and technical priorities

The Phase 2 drilling results confirm that the London Victoria mineral system remains open at depth, down plunge and along strike, with multiple high grade intersections now defined below the current pit floor and within structurally coherent positions that extend beyond the limits of the existing JORC 2012 Mineral Resource Estimate.

With assays pending from 7 additional holes and further structural, geochemical and geophysical work in progress, Adavale Resources are advancing an integrated technical program designed to refine the geological model, improve confidence in grade distribution, and systematically target extensions of the mineralised shear.

The forthcoming Phase 3 drilling program will be guided by this enhanced dataset, with the objective of incorporating newly defined high grade domains into future resource updates and continuing the progressive expansion of the London Victoria gold inventory within a well constrained structural framework.

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