Daly Resources Uncovers High-Grade Fluorite Discovery 5km West at Huckitta

Daly Resources Strikes High-Grade Fluorite 5km Beyond Known Limits at Huckitta

Daly Resources Limited (ASX: DLY) has reported early exploration results from its 100%-owned Huckitta Fluorite Project in the Northern Territory, with first rock-chip assays from a newly identified western vein returning up to 91.2% CaF₂ across more than 700 metres of strike. According to the ASX announcement, this is the longest continuously mineralised fluorite vein recognised at the project so far.

The result matters because the western target sits more than 5km west of the historical area of exploration focus. In practical terms, the latest field work suggests the Huckitta fluorite system extends materially beyond the footprint previously defined by earlier exploration.

"These initial results provide an encouraging start to our renewed exploration at Huckitta. The identification of a fluorite-bearing vein extending for more than 700 metres, combined with assays of up to 91.2% CaF₂, demonstrates the high-grade nature of the mineralisation and highlights the significant exploration potential of the project. This vein is outside the initial target area and significantly expands the potential scale of the project," said Mike Edwards, Executive Chairman.

What the Latest Huckitta Results Show

According to the announcement, field activities recently restarted at Huckitta and include geological mapping, rock-chip sampling and trial soil sampling. During this work, Daly's geologists identified a previously untested fluorite-bearing vein in the western target area.

The first batch of assays outlines a vein with high-grade fluorite values spread over a long surface footprint. Importantly, samples above 20% CaF₂ were returned from locations spanning more than 700 metres, indicating the mineralised structure is not limited to a short isolated outcrop.

Selected assay highlights from the first batch are shown below.

A total of 20 rock-chip samples were reported in Appendix A of the release. While the strongest fluorite results came from the western vein corridor, several other samples collected from control or separate areas returned low or negligible fluorite values. That contrast helps define the western structure as a discrete and meaningful exploration target.

Why the 5km Western Step-Out Matters

Historical fluorite work at Huckitta was concentrated on the eastern side of EL33271, where multiple fluorite-bearing veins over 400 metres in strike were previously identified within an 8km vein corridor. Past rock-chip sampling from that eastern area returned up to 95.1% CaF₂, and historical drill hole PH1 intersected 6.1m at 35.1% CaF₂.

The new western target is important because it lies outside that historically recognised focus area. Furthermore, rather than simply extending a known vein by a short distance, this result points to a broader mineral system that may include additional structures between and beyond the eastern and western zones.

A comparison of the two target areas helps put the update into context.

For investors, scale matters almost as much as grade in early exploration. A high-grade sample can attract attention, but a high-grade sample from a previously untested area 5km away from known mineralisation can change the geological interpretation of an entire project.

Understanding CaF₂ Grade and What Rock-Chip Results Mean

Fluorite exploration can be unfamiliar to generalist investors, so it is useful to clarify what these numbers represent.

CaF₂ is calcium fluoride, the main mineral in fluorspar. Assays expressed as CaF₂ % measure how much of the sampled rock consists of fluorite. A higher percentage generally means a purer fluorite sample, while lower percentages usually indicate more non-fluorite material such as silica, commonly reported as SiO₂.

How Does Fluorspar Grade Compare Commercially?

Commercial fluorspar products are often divided by grade:

• Acid-grade fluorspar typically requires around 97% CaF₂ or higher after processing
• Metallurgical-grade fluorspar is generally around 85% CaF₂ or higher
• Lower-grade material can still be relevant depending on processing response, scale and end market

The latest Huckitta assays are from rock-chip samples, which is important. Rock-chip sampling involves collecting selective pieces of mineralised outcrop from surface exposures. These samples are useful for confirming that fluorite is present and for showing its local quality, but they do not represent average deposit grade and do not define a resource.

Daly stated that CaF₂ equivalent can be calculated from fluorine content using the conversion: CaF₂ (%) = F (%) × 2.055. This is based on the chemical relationship between fluorine and calcium fluoride.

Key Technical Terms Explained

A few key terms are worth understanding:

• Rock-chip sample: A selective surface sample taken from exposed rock using a geological hammer.
• Strike length: The mapped horizontal length of a vein or mineralised structure.
• Vein corridor: An area containing multiple mineralised veins that may run broadly parallel to each other.
• Airborne magnetic and radiometric surveys: Geophysical methods flown over a project area to help map rock types, structures and alteration patterns beneath or between surface exposures.

That context is important because the latest announcement speaks primarily to surface extent and surface grade, not yet to thickness, continuity at depth or mineability. Those questions generally require drilling.

Broader Project Context at Huckitta

Daly's ASX announcement states that the Huckitta Project covers approximately 3,812km² and is held through 10 granted exploration licences. The company also noted the project is prospective for both fluorite and sediment-hosted copper mineralisation.

Geologically, Huckitta sits within the Arunta Region, with fluorite reported to occur as a hydrothermal vein system within the Jinka Granite. In simpler terms, hot mineral-rich fluids moved through fractures in the rock and deposited fluorite in vein structures. Fluorite at Huckitta is commonly associated with barite, quartz and copper.

This geological style matters because vein systems can occur in clusters rather than as a single isolated body. Daly reported that mapping completed so far has already identified additional vein structures beyond the known fluorite occurrences, which supports an expansion of the interpreted priority target area.

That does not confirm economic scale. However, it does suggest the current western vein may be part of a wider system that has not yet been systematically tested.

What Comes Next in the Exploration Programme?

According to the announcement, the current field programme is continuing. The next steps outlined by the company include:

1. Ongoing geological mapping to assess the scale, orientation and continuity of identified structures
2. Additional rock-chip and trial soil geochemistry results in the coming weeks
3. Integration of results with recently completed airborne magnetic and radiometric surveys
4. Target prioritisation for future drilling activities

Management also commented that the company intends to use the combined surface and geophysical data to refine geological interpretations for the next phase of exploration.

"With mapping continuing across the project area, we believe Huckitta has the potential to host a much larger fluorite system than previously recognised. We look forward to receiving further assay results and integrating these with our recently completed airborne geophysical survey to refine targets for the next phase of exploration," Edwards said.

For investors following early-stage explorers, the near-term focus is likely to remain on repeatability of high grades, evidence of multiple veins, and whether geological interpretation supports drill-ready targets.

Investment Relevance: Grade, Footprint and News Flow

The latest Huckitta update adds several elements that tend to matter in early minerals exploration.

First is grade. Surface rock-chip assays up to 91.2% CaF₂ compare favourably with historical surface results from the eastern area, where assays reached 95.1% CaF₂. Although rock chips are selective, the numbers indicate that high-purity fluorite is present at surface in more than one part of the project.

Second is scale potential. The western vein has been mapped over 700 metres, making it the longest continuously mineralised fluorite vein identified at Huckitta to date. Its location more than 5km west of the previous area of focus expands the interpreted mineralised footprint considerably.

Third is pipeline visibility. Daly has flagged additional assay results and the use of airborne geophysical data for target refinement. In exploration terms, that means the market may receive a sequence of updates rather than a single isolated result.

Is There a Broader Portfolio Context?

There is also a portfolio context worth noting. According to the company, Daly holds more than 6,500km² of granted tenure across the Northern Territory, with exposure to fluorite, copper and zinc through the Huckitta, Broughton and Batten projects.

Huckitta remains the immediate focus of this announcement, but the broader land package may appeal to investors seeking multi-project exploration exposure. That said, the western target remains pre-drilling and pre-resource. The current results improve the geological case for further work, but drilling will be needed to test continuity, thickness and grade below surface.

Why Daly Resources Is Drawing Attention at Huckitta

This ASX update does not establish a mineral resource, nor does it resolve the economic potential of Huckitta. What it does provide is evidence that fluorite mineralisation extends into a new western area, with high-grade surface results and a long mapped strike length on a single vein.

For a project where historical work was concentrated elsewhere, that is a material exploration development. It broadens the search area, strengthens the case for a larger fluorite system, and provides a clearer basis for follow-up targeting.

The key points from the announcement are straightforward:

• Up to 91.2% CaF₂ from first western rock-chip assays
• More than 700 metres of strike on the longest continuously mineralised fluorite vein identified at Huckitta so far
• A target area located over 5km west of the historical exploration focus
• Additional assay results and geophysical integration expected as field work continues
• Future work intended to support drill target refinement

For investors, the next question is equally straightforward: can Daly convert a promising surface discovery into a coherent drill-defined fluorite target? The coming mapping, soil sampling and geophysical interpretation are likely to shape that answer.

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