Metal Bank Achieves Gold Resource Milestone with Seven Leaders Deposit

Metal Bank Delivers Major Gold Resource Milestone with Seven Leaders Starter Pit

Metal Bank Limited (ASX: MBK) has announced its maiden JORC 2012 Mineral Resource Estimate (MRE) for the Seven Leaders Prospect, marking a pivotal moment in the company's transition from gold explorer to producer. The 138,000t @ 1.4g/t Au for 6,300oz Au resource provides the foundation for MBK's expedited pathway to WA gold production in 2026.

Strategic Foundation for Production Strategy

The Seven Leaders Prospect deposit, located within the 380km² Whiteheads Gold Project approximately 80km northeast of Kalgoorlie, represents MBK's first defined resource with immediate production potential. This Metal Bank gold resource milestone comprises 6,200oz Indicated and 100oz Inferred resources, with the substantial Indicated component providing confidence for streamlined mining approvals.

Recent validation drilling has confirmed the deposit's robust economics, with notable intersections including recent high-grade intersections that demonstrate the deposit's exceptional potential.

The recent high-grade intersections include:

• 5m @ 15.17g/t Au from 27m including 2m @ 35.55g/t Au from 28m (SLRC0014)
• 35m @ 1.94g/t Au from surface including 1m @ 18.05g/t Au from 33m (SLRC0005)
• 17m @ 2.17g/t Au from 17m including 3m @ 5.75g/t Au from 28m (SLRC0002)
• 26m @ 1.77g/t Au from 14m including 15m @ 2.58g/t Au from 23m (SLRC004)

The resource breakdown by weathering domain demonstrates strong shallow mineralisation, with the oxide and transitional zones containing 3,300oz Au suitable for straightforward processing through toll treatment arrangements.

"The Seven Leaders Prospect Resource has been confirmed above expectations. Contained gold is 6,300oz, and the grade is higher than historical data suggested, which makes the economics for the project more robust," said Tim Gilbert, CEO.

Understanding Mineral Resource Classification

For investors new to mining terminology, a Mineral Resource Estimate (MRE) represents a geologically-based assessment of mineralisation that demonstrates reasonable prospects for eventual economic extraction. The classification into Indicated and Inferred categories reflects confidence levels in the geological and grade continuity.

Indicated Resources (6,200oz at the Seven Leaders Prospect) have moderate geological confidence based on drilling at approximately 25m x 25m spacing. Furthermore, Inferred Resources (100oz) are supported by wider-spaced drilling around 50m x 50m spacing.

The high proportion of Indicated resources (98% of total ounces) provides strong confidence for mine planning and regulatory approvals. The 0.5g/t Au cut-off grade used for reporting reflects economic parameters suitable for open pit mining.

This considers current gold prices around $4,500/oz and estimated processing costs of $60/tonne.

How Does JORC Code Ensure Quality Standards?

The resource estimate adheres to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code) 2012 edition. This international standard requires geological confidence, continuity demonstration, and reasonable economic prospects for extraction.

The data supporting this Metal Bank gold resource milestone includes 7,678 metres of drilling from 136 drill holes. In addition, the majority comprises reverse circulation (RC) drilling that provides cost-effective sampling whilst maintaining sample quality and recovery.

Accelerated Production Timeline

MBK's strategy centres on minimising capital costs to production through strategic use of third-party processing infrastructure and toll treatment agreements. The company has outlined an aggressive timeline for Seven Leaders Prospect development.

Immediate next steps include:

• Pit design optimisation and waste dump sterilisation drilling
• Mining proposal application and regulatory approvals
• Securing toll treatment agreements with nearby processing facilities
• Mining contractor selection and engagement

The shallow, surface-outcropping nature of the Seven Leaders Prospect orebody enables straightforward open pit extraction with minimal pre-stripping requirements. Historical metallurgical testing on the deposit achieved 92-96.9% gold recovery through conventional cyanide leaching.

This supports MBK's conservative 90% recovery assumption for economic modelling. The proximity to Kalgoorlie's established mining infrastructure provides access to experienced contractors, processing facilities, and logistics networks essential for rapid development.

Broader Portfolio Context and Growth Pipeline

The Seven Leaders Prospect represents the first of multiple gold opportunities within MBK's expanding WA portfolio. The company recently applied for mining leases at the Livingstone project for the Homestead and Winja deposits.

This project holds a global JORC 2012 resource of 2.81Mt @ 1.36g/t Au for 122.5koz Au. The Whiteheads project area contains additional prospects including Lady Betty and Lady Geraldine, scheduled for drilling in 2026.

However, this multi-asset approach enables MBK to develop a sustainable production profile where early cash flows from the Seven Leaders Prospect can self-fund exploration. Moreover, this creates a self-reinforcing growth strategy across their pipeline of development opportunities.

What Makes the Regional Geological Setting Attractive?

The Seven Leaders Prospect deposit forms part of the northern Gindalbie Greenstone Belt, situated between two major fault systems. Gold mineralisation occurs along a sheared contact between different rock types, comprising north-trending quartz veins and strongly altered zones.

This geological setting is characteristic of orogenic gold deposits, similar to many successful operations throughout Western Australia's Eastern Goldfields region. The presence of coarse gold within the mineralised system has been confirmed through repeat sampling of material from historic workings.

Investment Thesis: Why Seven Leaders Matters

This Metal Bank gold resource milestone transforms MBK from a pure exploration play into a near-term gold producer with several compelling investment attributes.

Resource Quality: The 1.4g/t average grade significantly exceeds many Western Australian gold operations, providing robust unit economics even at conservative gold price assumptions.

Low Capital Intensity: By utilising toll treatment rather than building processing infrastructure, MBK minimises upfront capital requirements and technical risk.

Strategic Location: The 80km proximity to Kalgoorlie places the Seven Leaders Prospect within an established mining ecosystem with proven infrastructure, contractor availability, and processing capacity.

Expansion Potential: Recent high-grade intersections like 2m @ 35.55g/t Au indicate potential for additional resources both along strike and at depth. For instance, this provides organic growth opportunities for the company.

Portfolio Leverage: Success at the Seven Leaders Prospect provides a blueprint for developing MBK's broader asset portfolio, creating multiple value-creation opportunities.

The 98% Indicated resource classification provides unusual confidence for early-stage development, potentially enabling faster permitting and financing processes compared to typical exploration-stage projects.

What Are the Economic Parameters?

The pit optimisation used conservative parameters including a $4,500/oz gold price, $8/tonne mining costs, and $60/tonne processing costs. These assumptions reflect current market conditions and regional cost structures.

Furthermore, these parameters support the reasonable prospects for eventual economic extraction required under JORC guidelines.

Why Investors Should Follow Metal Bank

MBK has positioned itself as a compelling near-term gold production story in Western Australia's premier mining jurisdiction. The combination of a defined, shallow resource with robust economics, proximity to infrastructure, and a broader pipeline of development opportunities creates multiple pathways to value creation.

The company's strategy of using initial production cash flows to self-fund portfolio expansion addresses the traditional challenge of exploration funding. In addition, this approach minimises dilution to existing shareholders.

With upcoming milestones including mining approvals, contractor selection, and toll treatment agreements, MBK offers investors exposure to multiple potential catalysts over the next 12-18 months.

This Metal Bank gold resource milestone represents validation of MBK's technical capabilities and positions the company for its next phase as a gold producer. However, it operates in one of the world's most prolific gold regions, providing additional confidence for investors.

"Metal Bank has successfully transitioned from explorer to near-term producer with a robust starter resource at the Seven Leaders Prospect. The combination of high-grade, shallow gold mineralisation, strategic location near Kalgoorlie, and low-capital toll treatment strategy positions MBK for value creation through 2026 and beyond."

Ready to Discover the Next Major Gold Resource Milestone?

Discovery Alert's proprietary Discovery IQ model delivers real-time alerts on significant ASX mineral discoveries like Metal Bank's Seven Leaders Prospect resource announcement, instantly empowering subscribers to identify actionable opportunities ahead of the broader market. Begin your 30-day free trial today and secure your market-leading advantage in identifying the next major mineral discovery before the crowd catches on.