Nex Metals Lands Second JV Gold Project Near Kalgoorlie With Zero Capital Outlay

Nex Metals Exploration has expanded its joint venture portfolio with the Wangkatja Tjungula Aboriginal Corporation (WTAC), agreeing to acquire the East Scotia Gold Project — the second project under the partnership. The acquisition covers 133.41km² across three granted exploration licences in Western Australia’s Eastern Goldfields, strategically positioned within the same lithological and structural sequence that hosts the Golden Cities and Kanowna Belle mining complexes.

Nex Metals expands JV portfolio with East Scotia Gold Project acquisition

Nex Metals and WTAC’s joint venture has agreed to acquire the East Scotia Gold Project, located approximately 60km north of Kalgoorlie-Boulder along the Goldfields Highway. The acquisition consideration totals $100,000 plus a 2% Net Smelter Return (NSR), with all costs funded entirely by WTAC in accordance with the JV terms established in May 2026.

The Project overlies the northern extent of the Scotia–Kanowna Granodiorite, a geological feature hosting the Golden Cities and Kanowna Belle mining complexes. This positioning places the tenement package within proven gold-bearing geology, yet the ground has seen no modern exploration since the early 2000s, presenting a potential discovery opportunity for the JV.

Under the joint venture structure, Nex Metals manages exploration activities and earns 40% of proceeds, while WTAC provides funding capacity. This arrangement delivers leverage to Nex shareholders by adding exploration exposure without requiring capital outlay from the company.

Why the East Scotia location matters

The East Scotia Gold Project sits within the north-eastern portion of the Kalgoorlie Greenstone Terrane, where the greenstone sequence tapers against the Scotia–Kanowna Granodiorite. The geological setting shares structural and lithological characteristics with two established mining complexes operating nearby, making the prospect geologically significant.

Several major structural features traverse or border the tenement package:

• The northwest-trending Mount Monger Fault forms the northern and eastern boundary of the Kalgoorlie Terrane and crosses the north-eastern portion of the Project
• The Bardoc Shear, a major domain-boundary structure, lies west of the Scotia Pluton and runs sub-parallel to the granitoid contact
• The Scotia Granitoid itself — a domal intrusive body — sits west of the Mount Monger Fault with its axis parallel to the regional north-northwest structural trend

The Project comprises three granted exploration licences and one prospecting licence, all in good standing pending requisite approvals:

The Company is also acquiring a prospecting licence (P24/5496) covering 169.35 ha, expiring 1 February 2030.

Ken Allen, Managing Director

“Our focus within our Joint Venture with the Wangkatja Tjungula Aboriginal Corporation is to identify assets that exhibit strong geological fundamentals, can be acquired on favourable commercial terms, and offer the potential to be efficiently evaluated through well-planned exploration. The East Scotia Gold Project meets each of these objectives. Its location within the same lithological and structural sequence that hosts both the Golden Cities and Kanowna Belle mining complexes makes it a compelling addition to our exploration portfolio. We look forward to advancing the Project through the next stage of exploration and further assessing its geological potential.”

Understanding the WTAC Joint Venture model

The Nex Metals–WTAC joint venture, formalised on 21 May 2026, operates on a capital-light acquisition model that benefits both parties. WTAC funds project acquisition costs, while Nex Metals contributes technical expertise and manages exploration programs, earning 40% of proceeds from successful ventures.

A Net Smelter Return (NSR) is a royalty structure where the original vendor receives a percentage of net revenue from any future ore production, calculated after smelting and refining costs but before other operating expenses. In this case, the 2% NSR provides the vendor with ongoing exposure to the Project’s potential upside while allowing the JV to acquire the ground with a modest upfront payment.

This structure enables Nex Metals to build a Western Australian exploration portfolio without placing funding pressure on the company’s balance sheet. For WTAC, the partnership leverages the corporation’s funding capacity to create wealth-building opportunities for its community through equity participation in exploration success.

What’s next for the JV and Nex Metals

The acquisition is subject to conditions precedent and follows a structured completion pathway:

1. Acquiring entity: NME Wangkatja JV Pty Ltd
2. Consideration: $100,000 — 75% payable on completion, 25% on successful tenement transfer, plus 2% NSR (formal terms to be agreed prior to completion)
3. Conditions precedent: Include satisfactory due diligence by the JV, now commenced
4. Sunset date: 31 December 2026, beyond which either party may terminate if the transaction has not been completed

The JV is expected to commence initial field programs following receipt of necessary approvals. Planned first-pass exploration includes:

• Auger geochemistry to establish baseline soil chemistry profiles
• Geological reconnaissance to ground-truth historical data
• First-pass drilling using rotary air blast (RAB) and/or aircore techniques
• Validation of historical data and refinement of priority exploration targets

These programs aim to improve geological understanding of the Project and define areas for follow-up work.

The East Scotia acquisition is the second project added to the JV since its formation in May 2026. The broader pipeline now includes:

• Kookynie Tailings Project — under profit share and empowerment agreement (most recent update 27 July 2026)
• West Point Copper-Gold Project — under the JV, pending grant of tenement (most recent update 31 July 2026)
• East Scotia Gold Project — under the JV, pending completion of acquisition

The growing project portfolio demonstrates deal momentum and the JV’s ability to identify and secure assets on commercial terms that align with both parties’ strategic objectives. For Nex Metals shareholders, the model delivers exploration exposure across multiple projects while WTAC funding absorbs acquisition costs, creating a leveraged pathway to potential discovery without dilutive capital raises.

Want the Next ASX Gold Discovery in Your Inbox?

Join 30,000+ investors receiving FREE breaking ASX gold and mining news within minutes of release, complete with in-depth analysis. Click the “Free Alerts” button at Discovery Alert to get market-moving announcements delivered straight to your inbox the moment they drop.