Ann: NAE New Gold System Emerging at Wagyu Pilbara WA, page-11

Key Highlights from Drilling Results

High-Grade Intercepts (selected)

	Drill Hole	Interval (m)	Grade (g/t Au)	From Depth (m)	Notes
1	25WR002	8m	5.0	44	Includes 1m @ 28.6g/t
2	25WR026	4m	2.5	76	Deep intercept, possible fresh rock zone
3	25WR009	12m	1.0	12	Shallow oxide
4	25WR019	3m	2.8	41	Moderate depth, solid grade
5	25WR017	4m	2.0	16	Oxide mineralisation
6	25WR028	2m	3.2	27	Under an indurated sediment zone
7	25WR008	2m	2.3	40	Consistent with supergene
8	25WR007	27m	0.4	16	Broad low-grade supergene blanket

Geological and Exploration Context

✔️ Deposit Style

• Supergene gold mineralisation (shallow, oxidised) overlying primary intrusive-related systems.
• Associated with quartz veining, sericite, epidote, and pyrite—indicative of hydrothermal alteration.
• Arsenic correlation is a strong pathfinder, similar to the world-class Hemi Deposit (11.2Moz), located just 6km away.

✔️ Target Areas

• Target 6: Strongest mineralisation (25WR002), associated with quartz veining near fresh rock.
• Target 10: Broad oxide-hosted system, mineralisation remains open in multiple directions.
• Target 1: NE-SW mineralised trend with deeper hits (e.g., 25WR026), indicating potential feeder zones.
• Target 2: Less data but earmarked for future drilling based on geochem and geophysics.

Assessment of Results

Grade Evaluation

• A hit of 8m @ 5.0g/t Au (incl. 1m @ 28.6g/t) is exceptional for early-stage exploration.
• Several intercepts in the 1–3g/t Au range over 2–4m widths are encouraging and indicate robust mineralisation continuity.
• Broad low-grade zones (e.g., 27m @ 0.4g/t) hint at a large mineralised system potentially suitable for bulk-tonnage mining.

Mineralisation Continuity

• Strong lateral continuity between Target 1 and Target 10 (1km mineralised trend).
• Multiple intercepts at various depths suggest vertical continuity and potential feeder zones.
• The system remains open along strike and at depth — a positive indicator for resource expansion.

Technical & Strategic Analysis

	Factor	Analysis
1	Depth Potential	Maximum hole depth ~108m. Many high-grade intercepts occur near the base of oxide or within fresh rock. Significant depth potential remains unexplored.
2	Geochemical Signature	Gold-arsenic correlation reinforces validity of exploration model. Can be used to define further targets.
3	Alteration Style	Presence of sericite, quartz veining, pyrite and epidote suggests classic orogenic or intrusion-related gold system.
4	Proximity to Hemi	Within Mallina Gold Corridor, 6km from Hemi — strong addressable upside potential if system proves scale.
5	Exploration Strategy	Next phases targeting step-outs and deeper drilling to test feeder zones — the potential source of higher-grade gold.

Next Steps (NAE's Strategy Validation)

• 1m resampling of key composites to refine grade distribution — critical for resource estimation.
• Expanded RC & AC drilling to test depth extensions and lateral growth.
• Use of arsenic anomalies to identify new targets outside current footprint.
• Geochem/petrology to refine mineral model and assist in identifying feeder structures.

Investor or Development Perspective

	Strength	Opportunity
1	- High-grade intercepts early in exploration	- Potential for high-grade feeder zones at depth
2	- Confirmed 1km+ mineralised corridor	- Expand into underexplored fresh rock below oxide
3	- Clear pathfinder geochemistry (As)	- Drill new zones guided by arsenic anomaly
4	- Close to 11.2Moz Hemi Deposit	- M&A or JV potential with majors nearby (e.g., Northern Star)

✅ Summary: Is Wagyu a Promising Project?

Yes.
The Wagyu Gold Project shows clear early-stage exploration success with:

• Multiple high-grade intercepts, including bonanza-grade hits.
• Strong geological parallels to Hemi, one of Australia’s top recent gold discoveries.
• Open mineralised system laterally and at depth.
• Pathfinder-driven targeting strategy that’s already delivering.

With the right follow-up (especially deeper drilling), Wagyu could evolve into a substantial gold resource.
DYOR AI