Underground Progress at Rox Resources Ltd Accelerates Towards Production

Underground progress at Rox Resources Ltd has reached a pivotal stage as the company demonstrates significant operational momentum across its flagship Youanmi Gold Project. The company is rapidly advancing toward ore production, with underground development at United North exceeding expectations and key infrastructure milestones being achieved ahead of schedule.

The update reveals a company in full development mode, with approximately 750 metres of advance completed at United North, successful appointment of an EPC contractor with long-lead plant items secured, and substantial site infrastructure expansion underway. With the Final Investment Decision remaining on track for this quarter, Rox is positioning itself as Western Australia's next high-grade gold producer.

Underground Development Surges Forward at United North

The underground mining operations at United North represent the operational heart of Rox's development strategy. With 512 metres completed in the decline out of the total 750-metre advance, the project is tracking well ahead of expectations. The company expects to reach the turnout location to the first level by the end of February, marking a crucial milestone in accessing initial ore production fronts.

Key Underground Progress:

• 750m total advance completed across United North operations
• 512m specifically completed in the main decline
• First level access expected within days
• Underground drilling design advanced for 20m x 20m spacing across initial production areas
• Underground diamond drilling contracts under review for May commencement

Furthermore, the underground progress at Rox Resources Ltd represents more than simple tunnel excavation. Each metre of advance brings Rox closer to accessing the high-grade ore zones that underpin the project's robust economics, with development rates now accelerating as teams gain operational experience.

"The decline has been advancing strongly and first level access is expected shortly, which will be yet another key milestone for Rox as we open up initial ore production fronts," said Phill Wilding, Managing Director.

Dewatering Operations Clear Path to Historic Workings

The Main Pit dewatering programme continues on schedule, with water being discharged to evaporation ponds and the Rebel and Kathleen pits. This critical operation is expected to expose both the historic Main Decline and planned Pollard Decline portal positions in Q1 2026, providing access to the extensive underground infrastructure that will support full-scale mining operations.

The successful dewatering represents more than just water removal—it's unlocking access to proven gold-bearing zones that have historically produced significant ore. Once target levels are reached, pumping operations will transition underground, followed by pit clean-up and decline face support activities.

Infrastructure Expansion Supports Growing Operations

Rox is substantially expanding its operational capacity with a comprehensive infrastructure development programme that demonstrates confidence in its production timeline.

Accommodation Expansion:

• Current capacity: 111 rooms (following initial 60-room expansion)
• Additional 240 rooms progressing for H1 2026 delivery
• 120 permanent high-spec rooms ordered
• New dry mess facility and 120 temporary construction rooms planned

Operational Facilities:

• Mining office commissioned and operational
• New changeroom facilities delivered to site
• Spacious facilities designed for expanding underground workforce

This infrastructure expansion demonstrates Rox's confidence in its production timeline and commitment to supporting a substantial operational workforce during both construction and production phases. The staged approach to accommodation ensures capacity aligns with workforce requirements as operations scale.

Processing Plant Development Advances with EPC Contractor Selection

The appointment of Interquip as preferred EPC contractor represents a significant milestone in plant development, with pricing remaining aligned with Definitive Feasibility Study (DFS) capital estimates. The early engagement has already yielded tangible progress, with key long-lead items secured.

Equipment Already Ordered:

• Ultra-fine grind mill (IsaMill™)
• Ball mill and associated equipment
• Primary, secondary, and tertiary crushers
• Crusher screens and vibrating feeders
• Apron feeder and elution columns

Active Tender Processes:

• Power station Build Own Operate (BOO)
• Gas supply arrangements
• Albion Circuit components
• Oxygen Plant BOO

This proactive approach to securing critical equipment demonstrates sophisticated project management and helps de-risk the construction timeline. Long-lead items typically represent the most significant scheduling constraint in processing plant construction, making early procurement essential for maintaining production schedules.

Understanding High-Grade Underground Gold Mining

For investors new to underground gold operations, it's important to understand why Rox's approach at United North represents a significant opportunity. Underground mining typically targets higher-grade ore bodies that cannot be economically extracted through open-pit methods, often due to depth or geometric constraints.

Key Underground Mining Advantages:

• Higher grade ore: Underground operations typically target ore grades significantly above surface mining cutoffs
• Lower strip ratios: No waste rock removal required, improving project economics
• Extended mine life: Can access ore bodies at depth that surface mining cannot reach
• Weather independence: Operations continue regardless of seasonal conditions

Technical Mining Parameters

The 20m x 20m drill spacing Rox is implementing represents industry-standard resource definition for early production areas. This spacing provides high confidence in ore continuity and grade distribution, essential for mine planning and production scheduling.

Underground mining differs fundamentally from surface operations in several key areas:

• Development vs Production: Initial phases focus on decline development to access ore zones
• Grade Control: Close-spaced drilling ensures ore boundaries are precisely defined
• Selective Mining: High-grade zones can be selectively extracted, maximising value
• Infrastructure Requirements: Ventilation, power, and water systems must be established

Exploration Programmes Target Resource Growth

Rox is conducting multiple exploration programmes designed to enhance both near-term production and long-term resource growth across several prospects.

United North Infill Drilling

• 11 holes completed to date with assay results pending
• Targeting both initial production stopes and fast-track opportunities
• Surface drilling designed to de-risk immediate production fronts

Commonwealth-Connemarra Prospect

• Located 2.5km northwest of main mining centre
• 5,000-metre drilling programme planned along strike and down-dip
• Aims to further delineate 2025 DFS mineral resources

Hope Prospect Regional Exploration

• <5km from Youanmi main pit
• 2,000-metre air core programme testing regional Youanmi Shear Zone
• Designed to generate follow-up targets for RC and diamond drilling

Aeromagnetic Targeting

• Comprehensive geophysical interpretation underway
• Integration of magnetic, radiometric, gravity, and multispectral data
• 12-24 month systematic exploration pipeline development
• Deliverables expected Q2 2026

Investment Thesis: Western Australia's Next High-Grade Gold Producer

Rox Resources presents a compelling investment opportunity as one of the few Western Australian gold companies transitioning from development to production in 2026-2027. Several factors strengthen this investment case.

Resource Quality:

• 12.1 million tonnes at 5.6g/t for 2.2 million ounces of gold
• High-grade resource supporting robust project economics
• Proven geological system with historic production

Execution Track Record:

• Development milestones consistently achieved ahead of schedule
• Strong operational progress across multiple work streams
• Successful completion of $200 million placement + $18 million SPP in December 2025

Strategic Positioning:

• Located in established Western Australian goldfields
• Proximity to existing infrastructure reduces development risk
• Historic mining area with proven geological potential

Financial Foundation:

• Recent capital raising provides substantial development funding
• EPC contractor pricing aligned with DFS estimates
• Final Investment Decision on track for Q1 2026

The convergence of high-grade resources, proven management execution, and strong financial position creates a compelling investment proposition in the Australian gold sector.

Clear Pathway to Gold Production

Rox has outlined a detailed pathway to production that demonstrates systematic project development across multiple parallel work streams.

Immediate Next Steps:

• Complete detailed mine planning and scheduling
• Award contracts for additional long-lead items
• Continue Main pit dewatering to expose portal positions
• Progress United North exploration decline
• Advance plant site preparations pending approvals
• Finalise project financing arrangements

The pathway demonstrates methodical project development with clear dependencies and realistic timeframes. Each milestone builds upon previous achievements, reducing execution risk as the project advances.

Operational Momentum Building Across Multiple Fronts

The comprehensive development update demonstrates that Rox is executing across multiple parallel work streams simultaneously. In addition to the underground progress at Rox Resources Ltd, infrastructure expansion and processing plant procurement proceed in parallel.

Current Operational Priorities:

1. Underground Access: Reaching first level turnout to establish production platforms
2. Resource Definition: Surface drilling to de-risk initial production areas
3. Infrastructure Scaling: Expanding accommodation and operational facilities
4. Equipment Procurement: Securing long-lead processing plant components
5. Regulatory Progress: Advancing approvals for processing plant construction

The multi-front approach demonstrates sophisticated project management and reduces overall development timeline by running parallel work streams rather than sequential activities.

Why Investors Should Monitor Rox Resources

Rox Resources has positioned itself as a compelling opportunity in the Australian gold sector, combining high-grade resources with demonstrated execution capability. The company's systematic approach to development, from underground advancement to infrastructure expansion and processing plant procurement, indicates strong project management and realistic timelines.

Key Tracking Points for Investors:

1. Underground Access Milestones: First level access at United North expected imminently
2. Dewatering Progress: Portal exposure expected Q1 2026
3. Final Investment Decision: Anticipated Q1 2026
4. Exploration Results: United North infill drilling assays due in coming months
5. Infrastructure Delivery: Camp expansion and processing plant progress

Competitive Advantages:

• High-grade resource in established mining jurisdiction
• Proven geological system with expansion potential
• Strong balance sheet supporting development through to production
• Experienced management team with clear execution strategy

The company's comprehensive development update demonstrates that Rox is not just another gold explorer—it's a development company executing on a clear pathway to becoming Western Australia's next significant gold producer. With Final Investment Decision expected this quarter and continued operational progress across multiple fronts, the company appears well-positioned for its transition to gold production in Q3 2027.

Consequently, the combination of high-grade resources, systematic development approach, and proximity to established infrastructure positions RXL as a standout opportunity in the Australian gold sector. This positioning becomes particularly significant during a period when few companies are successfully transitioning from exploration to production, highlighting the importance of monitoring underground progress at Rox Resources Ltd.

Why Is Rox Resources Positioned for Production Success?

With underground development exceeding expectations, key infrastructure milestones being achieved ahead of schedule, and the Final Investment Decision on track for this quarter, Rox Resources is rapidly advancing towards becoming Western Australia's next high-grade gold producer. The company's systematic approach across multiple parallel work streams—from the 750-metre underground advance at United North to securing critical processing plant equipment—demonstrates the operational momentum driving this transition from development to production.

For investors seeking exposure to a well-funded gold development company with proven execution capability and a clear pathway to Q3 2027 production, discover more about Rox Resources' flagship Youanmi Gold Project and comprehensive development strategy at roxresources.com.au.