Strata Minerals Confirms 94% Hit Rate at Zelica Gold Project

Zelica Delivers a 94% Hit Rate: Strata Minerals Confirms a Wide, High-Grade Gold System With District-Scale Ambitions

Strata Minerals Limited (ASX: SMX) has delivered one of its most significant exploration milestones to date, announcing the final assay results from its completed Phase 2 reverse circulation (RC) drilling programme at the 100% owned Zelica Gold Project in Western Australia. The Strata Minerals Zelica Gold Project drilling results in Western Australia confirm 16 of 17 extensional holes intersecting significant gold mineralisation, achieving an outstanding 94% hit rate across 2,209 metres drilled.

This result materially reinforces Zelica's credentials as a rapidly expanding, multi-lode gold system in one of Australia's most celebrated gold-producing regions.

The headline intercept from Phase 2 is 2m @ 7.58g/t Au within a broader 12m @ 2.08g/t Au from 99m depth (hole SZRC030) — the widest and highest-grade result from the entire Phase 2 campaign. Critically, this intercept sits in an area that remains significantly untested, making it a priority target for immediate follow-up drilling.

Managing Director Peter Woods commented:

"Zelica has now delivered an outstanding result across the entire Phase 2 programme, with 16 of 17 holes intersecting significant gold, a 94% hit rate that follows on from the maiden drill programme, which intersected gold in 22 out of the 23 holes. The consistency of results alongside wider and higher-grade zones, as well as further hanging wall lode intercepts above the targeted ore zone, continues to strengthen our confidence that Zelica is developing into a multi-lode gold system with real district-scale potential. With mineralisation remaining open in all directions and less than 15% of the 9.5km corridor systematically tested to date, the Zelica discovery story is very much still in its early stages."

Phase 2 by the Numbers: A Comprehensive Dataset Now in Hand

The Phase 2 RC programme comprised 17 holes for 2,209 metres, designed specifically to test strike and depth extensions, expand the known mineralisation footprint, and build the dataset required for a maiden JORC (2012) Mineral Resource Estimate (MRE). All assay results have now been received, providing Strata with a complete picture of the Strata Minerals Zelica Gold Project drilling results in Western Australia.

For context, the preceding maiden drill programme also delivered exceptional results — 22 of 23 holes intersected significant gold mineralisation, establishing a strong foundation of grade continuity that Phase 2 has now built upon and expanded.

Key Intercepts: Strong Grades Across Both the Main Lode and Hanging-Wall Lodes

Main Lode — Phase 2 Highlights

The main lode continues to deliver consistent, above-cut-off grade intercepts across the drill-tested strike extent. Standout results from the completed Phase 2 programme include:

• 2m @ 7.58g/t Au within a broader 12m @ 2.08g/t Au from 99m — SZRC030
• 3m @ 5.37g/t Au within a broader 7m @ 3.32g/t Au from 71m — SZRC035
• 1m @ 6.29g/t Au within a broader 5m @ 2.45g/t Au from 99m — SZRC036
• 11m @ 1.25g/t Au from 78m — SZRC029
• 5m @ 1.84g/t Au including 1m @ 3.25g/t Au from 102m — SZRC028
• 4m @ 1.71g/t Au from 109m — SZRC026
• 3m @ 2.73g/t Au from 82m — SZRC032
• 6m @ 1.40g/t Au from 76m — SZRC033

Hanging-Wall Lode — Stacked Parallel Lodes Confirmed

One of the most geologically significant outcomes from Phase 2 is the confirmation of additional hanging-wall lode intercepts across multiple drill sections. Furthermore, this establishes the presence of stacked parallel lodes adjacent to the main lode position. These intercepts have been confirmed in five holes spanning 200 metres of strike, and up to 50 metres deeper than previously tested:

• 1m @ 3.74g/t Au from 84m — SZRC026
• 1m @ 3.52g/t Au from 92m — SZRC025
• 1m @ 2.99g/t Au from 91m — SZRC031
• 2m @ 1.29g/t Au from 72m — SZRC027
• 1m @ 1.29g/t Au from 100m — SZRC038

The emergence of confirmed parallel lodes materially broadens the overall system, suggesting that total mineralised width and contained gold could be substantially larger than previously interpreted.

Understanding the Geology: What Makes This Gold System So Significant?

What Is an Archean Orogenic Gold System?

The Zelica Gold Project is classified as an Archean orogenic shear-hosted gold deposit — one of the most important and well-understood gold deposit styles in the world, and precisely the type that has produced many of Australia's largest gold mines.

In simple terms, these deposits form when gold-bearing hydrothermal fluids move through ancient rock sequences along fault or shear zones. These structural pathways concentrate mineralisation in predictable, often continuous zones. At Zelica, gold mineralisation is controlled by the Zelica Shear, interpreted as part of the regionally significant Celia Fault system.

The gold occurs in quartz vein arrays hosted within highly deformed schist enclosed by basalt — a textbook structural setting for this deposit class.

Why Does This Matter to Investors?

Orogenic gold systems in the Eastern Goldfields of Western Australia are globally renowned for their size and grade. The structural controls at Zelica — a consistent east-dipping shear zone — mean that mineralisation tends to follow predictable patterns along strike and at depth, which supports systematic drill testing and resource definition.

The identification of high-grade plunging shoots within Zelica's long section is particularly encouraging. These represent concentrated zones of higher-grade gold that are a hallmark of many economically significant orogenic deposits.

Key Terms Explained

Four Dimensions of Growth: Why the Zelica System Keeps Expanding

The completed Phase 2 dataset has reinforced Zelica's growth potential across four distinct dimensions:

1. Grade — Consistent above-cut-off grade gold mineralisation across 16 of 17 holes, with high-grade plunging shoots identified and remaining open and untested.
2. Width — The main lode has now been intersected at widths up to 12 metres, while hanging-wall lode intercepts spanning 200m of strike add further system breadth.
3. Depth — The deepest intercept sits at 115m vertical depth and mineralisation remains open at depth — significant down-dip and plunging potential is yet to be tested.
4. Strike — 40–80m step-out drilling along section continues to intercept gold at both the northern and southern extents, whilst only ~15% of the 9.5km prospective corridor has been systematically tested.

Notably, of the ~9.5km mineralised corridor across Strata's tenure, 7km of strike remains completely untested and a further 1.5km has been subject only to limited and insufficient historical exploration. The systematic drill-testing of Zelica is, by any measure, still in its earliest stages.

From Explorer to Near-Term Producer: The Development Pathway

A critical dimension of the Zelica story is not just the quality of the exploration results, but the speed at which Strata is moving towards production. Three structural advantages underpin what the company describes as a low-capex, near-term development pathway:

• Granted Mining Licence — Zelica is held under Mining Licence M39/1101, a significant tenure advantage that positions the company to advance resource definition and mining activities without the permitting uncertainty that affects many early-stage projects.
• Nearby processing mills — The project is located within approximately 50km of multiple +1Moz gold deposits and several processing mills, providing toll-treatment options that reduce upfront capital requirements.
• Contract miner secured — Strata has executed a binding Mining Services and Profit Share Agreement with BML Ventures (BMLV), a proven open-pit gold developer and miner.

BMLV and its principals have also agreed to subscribe for up to $1.0 million worth of Strata shares at a premium issue price of $0.0175 via a placement of 57,142,857 shares, subject to shareholder approval. The premium share subscription price signals genuine conviction in the project's near-term value.

Historical metallurgical testwork at Zelica has also established strong gold recovery credentials:

These results, spanning multiple operators and methodologies over several decades, consistently confirm that Zelica ore is amenable to conventional processing with strong recovery rates.

What Comes Next: A Busy Exploration and Development Agenda

With the Phase 2 dataset complete, Strata has outlined a focused programme of follow-up activities designed to both expand the resource and test the broader district-scale opportunity:

1. High-resolution magnetic geophysical survey across the Zelica tenement package to map prospective structures and refine drill targets.
2. Priority follow-up RC drilling targeting the highest-grade plunging shoots, with hole SZRC030 forming part of the immediate follow-up target area.
3. 40–80m step-out RC drilling across a 200m strike length of untested target zone to test for potential grade increases beneath a possible depletion zone.
4. Aircore (AC) drilling across M39/1101 to test for stacked lodes east and west of the main Zelica trend.
5. Regional AC drilling north and south of known Zelica mineralisation to systematically test strike extensions, guided by recent geological mapping and structural interpretation.
6. Maiden JORC Mineral Resource Estimate (MRE) — with a comprehensive Phase 1 and Phase 2 dataset now in hand, advancement toward a maiden MRE is a key near-term objective.

Why Zelica Warrants Investor Attention

The combination of exploration momentum, geological scale, and a clearly defined development pathway gives Zelica a profile that is increasingly rare at the small-cap end of the ASX gold sector. In addition, the following factors collectively present a compelling investment case:

• Exceptional drill consistency — A combined hit rate of 94% (Phase 2) and 96% (Phase 1) across 40 holes is a strong indicator of a robust, continuous mineralised system.
• Multi-lode system emerging — The confirmation of stacked parallel hanging-wall lodes materially increases the mineralised system footprint beyond the original single-lode interpretation.
• Vast untested ground — With 7km of the ~9.5km corridor completely untested and the deepest intercept still open at depth, the exploration upside is genuinely substantial.
• Shallow, oxide-dominant mineralisation — The Strata Minerals Zelica Gold Project drilling results in Western Australia, delineated over approximately 1,000m strike to ~115m vertical depth, sit predominantly in oxide and transitional zones, which are generally lower cost to mine and process.
• Development infrastructure in place — A granted Mining Licence, established contract miner, and nearby processing options collectively reduce the typical barriers to production.
• Aligned development partner — The BMLV agreement introduces a financially committed, operationally experienced partner with a premium share subscription signalling genuine conviction.

However, perhaps the most compelling aspect of the Zelica story is how early-stage the discovery genuinely remains. Strata Minerals has positioned itself as a compelling growth story in Western Australia's Eastern Goldfields, with Zelica rapidly maturing from an early-stage discovery into what may prove to be a multi-lode, district-scale gold system.

With a 94% drill hit rate, mineralisation open in all directions, a granted Mining Licence, a development partner secured, and less than 15% of the 9.5km corridor tested, the catalysts ahead are both numerous and near-term. Investors with an appetite for high-impact junior gold exploration should be watching ASX: SMX closely.

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