”Yandal Resources ('YRL') are a gold exploration company who hold tenements in the Yandal gold belt and in the northern Kalgoorlie area. The company was founded and is managed by the team who formerly ran Metaliko Resources, a company who merged with Echo Resources ('EAR'). YRL's tenements are strategically located, with their Yandal belt holdings adjacent to EAR's tenements and their Kalgoorlie holdings near to Northern Star's ('NST') Kanowna Belle project.
NST hold 15% of the company, with balance spread between other reputable gold investors and the management team. The register is very strategic and tightly held which was a big attraction for us. Historically the Yandal tenements have been under explored, we believe that there is significant 'low hanging fruit' that can be plucked.
We discovered at the company's flagship Ironstone Well project that historical JORC resource estimates do exist for a number of deposits the company has flagged as priority exploration areas.
What is interesting is that YRL are extending these existing resources at shallow depths of >200 metres, that are still open in most directions. These shallow, open pittable deposits will be highly economic at current gold prices; and the oxide ores will be highly sought after by mills in the area. Ironstone Well is within comfortable trucking distance of 3 separate processing plants: Jundee, Wiluna & Bronzewing.
We believe there is considerable exploration potential exists for all of YRL's tenements, in particular the Yandal projects. Regionally, EAR have defined approximately 125,000 ounces at Corboys, with further drilling currently underway targeting 250,000 ounces. This particular deposit, along with YRL's existing and prospective deposits sit along the Barwidgee shear zone, of which YRL control 55kms of prospective strike.
We view YRL's projects as providing valuable feedstock for the surrounding gold mills. Along with the exploration potential, the future catalysts will be an update to JORC estimates for the Ironstone Well projects along with an economic scoping study; both which are projected to be released in the next 3-4 months.
We believe that YRL remains an undervalued opportunity that holds the potential to re-rate once the broader market understands the strategic significance of its various holdings
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)