Carnavale Resources Ltd (ASX:CAV) has announced a substantial increase in its mineral resource estimate (MRE) for the Kookynie Gold Project in Western Australia, highlighting the continued growth potential of this high-grade asset.
The updated MRE includes all drilling to date and reveals a 38% increase in total resource ounces compared with the maiden estimate. The Kookynie Gold Project, located 60 kilometres south of Leonora, is close to several operating gold processing plants, positioning it well for future mining opportunities.
Resource update and key highlights
The latest MRE for the Kookynie Gold Project now stands at 842,000 tonnes at 4.3 g/t gold for 117,000 ounces of gold, with a notable addition of a bonanza gold zone. This includes 60,000 tonnes at an exceptional grade of 28.3 g/t gold, contributing 55,000 ounces to the resource total.
The update reflects the addition of the Tiptoe Lode, which introduces shallow, open-pittable resources and boosts the overall potential of the project. The Indicated category has seen a 46% increase, further strengthening the project’s resource confidence.
Importantly, 66% of the total resource now falls within the Indicated category, which is vital for future mining studies and operations.
“We are very pleased with the outcome of the MRE update as it adds valuable ounces to the project and importantly increases the indicated resources by nearly 50%,” said CEO Humphrey Hale.
“The Swiftsure and Tiptoe lodes represent a very valuable niche project in the Eastern Goldfields close to operating processing plants,” he added. “The high-grade shoots within Swiftsure contain a bonanza zone of 55,000 ounces at 28.3 g/t, ensuring robust financials for the project.”
Long section through the Swiftsure and new Tiptoe lodes representing gold Grade for July 2025 MRE including proposed Scoping Study Pit 9
Strong exploration upside, scoping study update
The resource remains open at depth and along strike, with additional exploration targets at the nearby Valiant and Champion South prospects. These areas offer significant upside potential, and further drilling is planned to test these extensions, which could increase both the resource base and the project’s economics.
Plan of Kookynie Gold Project with prospects and pit 9 outline proposed in June 2024 Scoping Study
Further exploration also includes testing the down-dip extensions of the Swiftsure lodes and expanding the Tiptoe anomalies discovered in earlier aircore drilling. Carnavale is targeting additional resource growth, as mineralisation continues to show strong continuity.
Carnavale has already commissioned Cube Consulting to update the project's scoping study, incorporating the new resource estimate, increased confidence in the resource, and the current higher gold price, which is now trading above A$5,100 per ounce.
“There is now substantial evidence that the upside at the Kookynie Gold Project is extremely strong, both on the exploration and production fronts, and we have a great opportunity to generate significant shareholder value,” Hale said.
Project development plans
The Kookynie Gold Project’s shallow, high-grade mineralisation is suitable for a variety of mining development scenarios, including compact open pits with underground access to deeper ore.
Carnavale Resources tenements with area of MLA (yellow) showing area of proposed open pit
Carnavale’s joint venture partnership with Western Resources on certain tenements further strengthens its strategic position, with plans for a feasibility study under way. The company has also lodged a mining license application to develop the project, underscoring its commitment to bringing Kookynie into production.
Carnavale aims to deliver significant value to shareholders in the coming months with its aggressive exploration strategy and focus on resource expansion, setting the Kookynie Gold Project on a growth path as Carnavale progresses towards a full-scale mining operation.