Lunnon Metals (ASX:LM8) Lady Herial: shallow high-grades with fast-track potential

Lunnon Metals (ASX:LM8) has wasted no time in advancing its Kambalda Gold & Nickel Project (KGNP), with the latest drilling results from Lady Herial pointing to a potentially lucrative, shallow, high-grade gold deposit.

In a market where near-surface ounces command a premium for fast-tracked development, Lady Herial is shaping up as a significant opportunity.

Shallow, Thick and High-Grade

The company’s first phase of closely spaced reverse circulation (RC) drilling has confirmed and extended the high-grade structures within a 100m x 50m zone. Headline intercepts include:

• 11m @ 3.38g/t Au, including 1m @ 29.37g/t Au
• 15m @ 3.84g/t Au, including 3m @ 15.13g/t Au
• 17m @ 3.07g/t Au, including 5m @ 8.40g/t Au
• 15m @ 2.38g/t Au, including 1m @ 19.56g/t Au

All intercepts sit within 35m-40m from surface—meaning minimal overburden, low stripping ratios, and rapid access to ore in a potential open-pit scenario.

The Kambalda Advantage

Located within the prolific St Ives gold camp, KGNP benefits from established mining leases, existing infrastructure, and nearby processing plants.

The project is strategically positioned to leverage the high Australian-dollar gold price, making any fast-tracked production a self-funding catalyst for broader exploration.

Lunnon Metals Managing Director Edmund Ainscough noted the significance of the results, stating:

“Another de-risking step is now complete. While the very high-grade results are great to see in the early rounds of drilling, it builds confidence to follow them up and demonstrate that the hosting structures are continuous and high grade.”

A Different Approach to Discovery

Unlike many junior explorers banking on deep and costly discoveries, Lunnon Metals has taken a pragmatic approach.

Lady Herial is an outcropping deposit, meaning little geological guesswork—just targeted drilling and smart execution.

The company is essentially fast-forwarding its development cycle by using this RC program as an early-stage grade control exercise, ensuring precision in resource estimation and reducing future drilling costs.

Further, the new drilling suggests additional gold mineralisation in the footwall of the main structures, opening the door to a larger system than initially interpreted.

What’s Next?

With this batch of results in hand, Lunnon Metals is wasting no time:

• Further infill drilling on the Upper and Middle Structures
• Diamond drilling for geotechnical and metallurgical test work
• Resource estimation and potential open-pit optimisation
• Discussions with third parties on toll treatment or ore purchase
• Permitting progression for potential open-pit mining

Ainscough summed up the strategy best:

“These structures would be mined almost immediately after any pit starts and will be a fantastic way to kick off any new mine.”

With shallow ounces proving to be king in a cost-sensitive gold market, Lady Herial is emerging as a potential low-capex, high-return play—one that could put Lunnon Metals on the fast track to cash flow and further exploration success.

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