Charger Metals Doubles Drilling Pace at Medcalf With 10,000m Funded Programme
Key Takeaways
- Charger Metals has deployed a dual-rig configuration at Medcalf — an RC rig and a diamond rig drilling simultaneously — as part of a 10,000m programme that will double the total metres ever drilled at the deposit.
- The programme is fully funded from the $3,752,984 cash component of the Bynoe Lithium Project sale to Core Lithium, meaning zero new equity dilution for existing shareholders.
- The existing Medcalf Inferred MRE stands at 10.6Mt @ 1.0% Li2O, upgraded in June 2026 with a 34% increase in contained lithium oxide, and was built at a capital-efficient cost of just $32 per contained tonne of Li2O.
- The programme targets both resource extension and infill drilling to upgrade confidence from Inferred toward higher JORC categories, directly supporting the Board-committed scoping study on Lake Johnston.
- The Medcalf West Exploration Target of 3–5Mt @ 1.0%–1.4% Li2O remains conceptual but is a defined drill target within the current programme, offering potential resource growth upside.
Drill programme doubles down at Medcalf Lithium Deposit
Charger Metals NL (ASX: CHR) has mobilised a second drill rig to its 100%-owned Lake Johnston Lithium Project in Western Australia, with a diamond rig now drilling alongside a Reverse Circulation (RC) rig that commenced operations just over a week prior. The dual-rig configuration, confirmed on 24 September 2026, puts a 10,000m drilling programme into full swing at the Medcalf Lithium Deposit — a programme that will effectively double the total metres drilled at Medcalf to date.
Lake Johnston sits 450km east of Perth in the Yilgarn Province, a region with a strong track record of hard-rock lithium discovery. Running two drill types simultaneously signals a clear step-up in pace: the RC rig handles volume and coverage efficiently, while the diamond rig recovers intact core samples needed for metallurgical and geotechnical testing.
The current programme has four focused objectives:
- Test extensions to the existing Medcalf deposit
- Infill drilling to tighten resource confidence
- Further define the Medcalf West Exploration Target
- Provide diamond core for metallurgical and geotechnical test work
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What Charger is drilling — and why it matters
The programme targets two distinct bodies of mineralisation at Medcalf. The first is the established Medcalf Inferred Mineral Resource Estimate (MRE) of 10.6Mt @ 1.0% Li2O and 107ppm Ta2O5, which was upgraded in June 2026, representing a 34% increase in contained lithium oxide. The second is the Medcalf West Exploration Target of 3–5Mt @ 1.0%–1.4% Li2O, which remains conceptual in nature.
Cautionary note: The potential quantity and grade of the Medcalf West Exploration Target is conceptual. There has been insufficient exploration work to estimate a Mineral Resource, and it is uncertain whether further exploration will result in defining a Mineral Resource.
The current resource has been delineated on a predominantly 40m x 80m drilling grid using 10,936m of drilling to date, and has been established at a capital-efficient cost of just $32 per contained tonne of Li2O, including study costs. Following the June 2026 MRE upgrade, the Charger Board committed to completing a scoping study on the Lake Johnston Lithium Project, signalling that management views the project as having reached sufficient scale to assess development economics.
What is a Mineral Resource Estimate — and what does “Inferred” mean for investors?
A Mineral Resource Estimate (MRE) is a formal estimate of the quantity and grade of a mineral deposit, reported under the JORC Code (the Australasian standard for resource reporting). Resources are classified into three confidence levels: Inferred (lowest), Indicated (moderate), and Measured (highest).
An Inferred resource is based on limited data and carries the most geological uncertainty of the three categories. It is generally suitable to support early-stage development decisions, but cannot be used to support mine planning. For Charger, the current drilling programme is specifically designed to upgrade resource confidence — further de-risking the Inferred resource — and potentially growing total resource tonnes. Both outcomes would strengthen the company’s case for advancing Lake Johnston toward development.
The Medcalf MRE, reported in line with the 2012 JORC Code, breaks down as follows:
| Type | Tonnage (Mt) | Li2O (%) | Ta2O5 (ppm) | Contained Li2O (kt) |
|---|---|---|---|---|
| Weathered | 0.31 | 0.94 | 109 | 2.9 |
| Primary | 10.3 | 1.00 | 107 | 103 |
| Total | 10.6 | 1.00 | 107 | 106 |
Cut-off grades: 0.4% Li2O and 65ppm Ta2O5. Source: ASX Announcement, 23 June 2026.
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Fully funded and focused on Lake Johnston
The 10,000m programme is fully funded, with no new capital raise required. The source of funds is the cash component of $3,752,984 received from the sale of the Bynoe Lithium Project to Core Lithium Limited’s (ASX: CXO) wholly owned subsidiary, with cash received on 17 July 2026.
The Bynoe Lithium Project divestment to Core Lithium delivered $14.75M in total consideration, with the cash component received in July 2026 providing the direct funding source for the current 10,000m programme without requiring any shareholder dilution.
The Bynoe divestment was a deliberate portfolio decision. By monetising a non-core asset, Charger freed up capital to accelerate work at Lake Johnston — its highest-conviction project — without diluting shareholders. That discipline is reflected in the programme’s economics: the existing resource was built at $32 per contained tonne of Li2O, a figure that compares favourably to typical industry exploration costs.
The next major corporate milestone is the completion of a scoping study on Lake Johnston, to which the Board has committed following the June 2026 MRE upgrade. A scoping study is an early-stage assessment of the technical and economic viability of developing a mining project, giving investors a first look at potential operating costs, capital requirements, and project scale.
For regional context, Lake Johnston sits approximately 70km east of the Earl Grey deposit at Mt Holland, which is operated by Covalent Lithium Pty Ltd (manager of a joint venture between subsidiaries of Sociedad Química y Minera de Chile S.A. and Wesfarmers Limited). Mt Holland is understood to be one of the largest hard-rock lithium projects in Australia, with Ore Reserves for the Earl Grey Deposit estimated at 189Mt @ 1.5% Li2O. The proximity establishes Charger’s tenure within a proven lithium geological setting, though it is not indicative of Medcalf’s own development potential or timeline.
The announcement does not include a direct management quote suitable for reproduction.
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