Australian Mines Boa Vista Gold Project Returns Spectacular Drilling Results

Australian Mines Strikes Gold: Boa Vista Drilling Delivers Spectacular Results

Australian Mines Limited (ASX: AUZ) has delivered exceptional first assay results from its 2025 drilling campaign at the Australian Mines Boa Vista gold project in Brazil. The standout intercept VGADD0002 returned 120m @ 1.34 g/t Au, including a high-grade zone of 16m @ 3.53 g/t Au.

This represents the second-highest gram-metre result ever reported at Boa Vista with 160.8 gram-metres, confirming the project's potential for broad, continuous gold mineralisation. The results from the first three holes of an 11-hole programme demonstrate strong mineralisation continuity within the interpreted envelope.

Furthermore, these results support Australian Mines' strategy to define the geometry and scale of this promising gold system in Brazil's prolific Tapajos region.

Outstanding Drill Results Confirm Mineralisation Continuity

The initial three holes have all returned significant gold intercepts, demonstrating the consistency of mineralisation across the target zone:

"We're very pleased with the first assay results, which confirm broad zones of gold mineralisation with higher-grade internal intervals. The standout result is VGADD0002, returning 120 metres at 1.34 g/t gold, including 16 metres at 3.53 g/t — an excellent intercept and the second-best result reported at Boa Vista to date," commented CEO Andrew Nesbitt.

These results are particularly encouraging as they demonstrate both continuity of mineralisation and the presence of higher-grade internal zones that could significantly enhance the project's economics. In addition, the consistency across multiple drill holes suggests a coherent mineralised system.

Understanding Gram-Metres: A Key Exploration Metric

Gram-metres represent a fundamental metric in gold exploration, calculated by multiplying gold grade (grams per tonne) by intercept width (metres). This measurement provides a simple indication of mineralisation intensity within a drill intercept.

In gold exploration, intercepts above 20 gram-metres indicate prospective mineralisation, while values exceeding 100 gram-metres are considered strong indicators of robust mineralisation. VGADD0002's 160.8 gram-metres places it amongst the elite results at the Australian Mines Boa Vista gold project.

Moreover, this metric compares favourably to historical intercept VGD-011-12 which returned 166.2 gram-metres. This metric helps investors understand not just the grade or width individually, but the overall mineralisation intensity.

The consistency of strong gram-metre values across multiple holes suggests Australian Mines is drilling into a coherent, well-mineralised system rather than isolated pockets of gold.

Strategic Location in Brazil's Premier Gold Region

The Australian Mines Boa Vista gold project sits within Brazil's Tapajos Mineral Province, a highly prospective geological region extending from Bolivia through Brazil into Guyana and Venezuela. This region hosts several world-class gold operations and has attracted major mining companies due to its proven geological framework.

The Tapajos province is characterised by orogenic, shear-zone hosted gold mineralisation similar to major deposits worldwide. Orogenic gold deposits form when hot fluids carrying dissolved gold move through fault zones during mountain-building processes.

However, the location offers several key advantages:

• Established geological framework with proven gold-bearing structures
• Favourable mining jurisdiction with existing infrastructure
• Year-round drilling accessibility enabling continuous exploration programmes
• Proximity to established operations providing access to skilled labour and services

The project benefits from existing infrastructure and lies within a 2-kilometre gold-in-soil surface anomaly that remains largely untested. Consequently, this suggests significant exploration upside beyond the current drilling programme.

Compelling Historical Resource Foundation

Boa Vista already hosts a historical inferred resource of 8.47 Mt @ 1.23 g/t Au for approximately 336,000 oz (NI 43-101 standard) at the VG1 prospect. This provides a solid foundation for the current exploration programme and demonstrates the project's established credentials.

Key historical highlights include:

Despite this substantial resource, only 15 holes have been drilled to date at VG1, with the prospect remaining open along strike (approximately 600m) and at depth (approximately 120m tested). This limited drilling density suggests significant potential for resource expansion through systematic exploration.

The historical resource provides important context for the current drilling results, demonstrating that the Australian Mines Boa Vista gold project has already established a meaningful gold inventory with substantial exploration upside remaining.

Strategic Earn-In Structure Provides Upside Leverage

Australian Mines can earn up to an 80% interest in Boa Vista through its agreement with Cabral Resources Limited and Majestic D&M Holdings LLC. This structure provides significant advantages for shareholders through several key benefits.

Capital Efficiency Benefits

The earn-in model delivers:

• Controlled capital deployment through staged earn-in requirements
• Significant leverage to exploration success through majority ownership potential
• Access to advanced project with existing resource and infrastructure
• Clear pathway to development decision-making control

The earn-in model allows Australian Mines to systematically advance the project whilst maintaining capital discipline. This approach is particularly important given the strong initial results that warrant expanded exploration programmes but require careful capital allocation.

For instance, this structure ensures Australian Mines can maximise shareholder value whilst managing exploration risk appropriately.

Next Steps: Building Toward Resource Definition

With nine holes still pending assay results, Australian Mines has outlined a clear progression strategy to advance the Australian Mines Boa Vista gold project through systematic exploration phases.

Immediate Priorities

The company's immediate focus includes:

• Complete integrated interpretation of all 2025 drilling results
• Update mineralisation wireframes and targeting models based on new data
• Assess follow-up drilling priorities for strike and down-dip continuity
• Refine exploration strategy for potential resource definition work

Medium-Term Objectives

Furthermore, the medium-term objectives encompass:

• Extended drilling programmes along strike and down-dip to test mineralisation continuity
• Metallurgical sampling on core for gravity concentration and CIL/CIP processing assessment
• Resource estimation work to convert historical foreign resource to JORC compliance
• Preliminary economic studies to evaluate development options and economic potential

The systematic approach positions Australian Mines to rapidly advance understanding of the mineralised system whilst building toward potential development decisions. Each phase builds logically on the previous work, minimising execution risk whilst maximising value creation potential.

Why Should Investors Monitor Australian Mines?

Australian Mines has positioned itself as a compelling gold exploration opportunity with multiple value creation catalysts ahead. The company offers investors several distinct advantages in the current market environment.

Immediate Catalysts

The near-term opportunities include:

• Nine additional holes pending results that could further expand the known mineralised system
• Resource estimation work to establish JORC-compliant resource statement
• Follow-up drilling programmes targeting strike and dip extensions of current discoveries

Strategic Investment Advantages

Moreover, the investment thesis rests on several strategic pillars:

• Advanced project stage with substantial historical resource base providing de-risked foundation
• Premier location in Brazil's established Tapajos gold province with proven track record
• Experienced management team with demonstrated expertise in resource development
• Clear earn-in pathway to majority ownership and development control at defined milestones

Financial Position Strengths

In addition, the financial structure offers:

• Structured earn-in approach minimises dilution whilst maximising upside leverage to exploration success
• Systematic exploration methodology ensures capital efficiency and strategic progression
• Multiple project exposure providing portfolio diversification and additional optionality

Key Investment Thesis: Australian Mines has secured access to a high-quality gold project in a premier jurisdiction, with initial drilling results confirming the potential for a substantial gold system. With the second-best result ever recorded at Boa Vista and nine holes still pending, the company offers investors leveraged exposure to potential resource expansion in Brazil's proven Tapajos region.

The combination of strong initial results, systematic exploration approach, and strategic location positions Australian Mines as a compelling gold exploration investment. The structured earn-in agreement provides capital efficiency whilst maintaining significant upside leverage to exploration success.

Consequently, with results from nine additional holes pending and a clear pathway toward resource definition, investors should closely monitor developments at Boa Vista throughout 2025. The project's combination of established resource inventory, exploration upside, and systematic development approach creates multiple value creation opportunities for shareholders.

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