Sunstone Metals Ltd (ASX:STM) reported a productive September quarter, advancing multiple corporate discussions toward potential transaction terms while progressing resource work and field programs across its Ecuador portfolio.
Due diligence and site visits by several interested parties continued through the quarter, with talks covering a range of strategic alternatives including corporate transactions and strategic investments. Corporate-level discussions have now progressed to the point where a formal offer may be finalised.
Highlights
Partnerships / corporate
- Multiple parties completing due diligence; additional site visits this quarter.
- Discussions advanced across strategic options (corporate transactions/strategic investments); corporate-level talks are far enough that a formal offer may be finalised.
Bramaderos (Southern Ecuador)
- Updated Mineral Resource estimate (MRE) in preparation to lift Indicated classification and support a planned Brama-Alba scoping study.
- Extensive surface rock channel sampling at Brama-Alba over gold-in-soil anomalies to extend mineralisation and link Alba to Melonal porphyry.
- Additional assays from Brama-Alba and Copete expand the porphyry cluster footprint and support further resource growth.
- Current Brama-Alba MRE: 2.7 Moz AuEq.
- Porphyry Exploration Target: 3.3–8.6 Moz AuEq within 255–360 Mt @ 0.40–0.74 g/t AuEq.
- Nearby Limon epithermal Exploration Target: 0.9–1.7 Moz AuEq within 30–44 Mt @ 0.9–1.2 g/t AuEq; potential open-pit complement to Bramaderos.
- Note: Exploration Target quantities/grades are conceptual; insufficient exploration to estimate a Resource; outcomes uncertain.
El Palmar (Northern Ecuador)
- Maiden MRE: 1.2 Moz AuEq at T1 (outcropping gold-copper porphyry); potential large open-pit starter ahead of deeper targets.
- High-conviction Exploration Target: 1.0–1.2 Bt @ 0.3–0.7 g/t Au and 0.1–0.3% Cu, for 10–27 Moz Au and 1.0–3.7 Mt Cu (~15–45 Moz AuEq).
Corporate / financial
- Cash (30 Sep 2025): A$2.2m.
- Options exercised in quarter: A$1.6m (from Sep-2024 Placement & Oct-2024 SPP).
- Post-quarter: additional 39m options converted at $0.0075 for A$0.3m proceeds.
- Outstanding in-the-money options: 259m (~A$1.9m potential).
Bramaderos: updated Resource in train to underpin scoping study
At the Bramaderos gold-copper project in southern Ecuador, Sunstone is preparing an updated Mineral Resource estimate focused on lifting the Indicated component to support a planned scoping study for the Brama-Alba deposit.
Bramaderos gold in soil contours showing the main porphyry and epithermal domains.
Fieldwork during the quarter included an extensive surface rock channel sampling program at Brama-Alba targeting gold-in-soil anomalies. The aim is to expand the known mineralised footprint and link Alba to the adjacent Melonal gold-copper porphyry system. Additional assays from Brama-Alba and Copete reinforced the scope for ongoing resource growth and broadened the footprint of the porphyry cluster at Bramaderos.
Bramaderos currently hosts a Mineral Resource Estimate of 2.7Moz gold-equivalent (AuEq) at Brama-Alba, alongside a porphyry Exploration Target of 3.3–8.6Moz AuEq within 255–360Mt at 0.40–0.74g/t AuEq. A separate Exploration Target at the nearby Limon epithermal system of 0.9–1.7Moz AuEq within 30–44Mt at 0.9–1.2g/t AuEq points to potential for an open-pit development that could complement the broader Bramaderos porphyry discoveries.
The Limon epithermal gold-silver system in plan view, showing multiple mineralised structures in green. High-grade domains are at intersections of NE and WNW trending structures. Recent intersections in holes LMDD048-051 extend mineralisation on the western and eastern sides of the Limon epithermal system. Several additional targets have been defined based on gold-in soil and zinc-in-soil anomalies, and structural interpretation.
Exploration Targets are conceptual in nature; insufficient work has been completed to estimate Mineral Resources in those target areas and there is no certainty that further exploration will result in Resource estimates.
El Palmar: maiden Resource and large-scale target
At the El Palmar project in northern Ecuador, Sunstone delivered a maiden MRE of 1.2Moz AuEq based solely on the outcropping T1 gold-copper porphyry — one of several porphyry targets on the property. T1 is viewed as a potential large open-pit starter opportunity ahead of deeper porphyry exploration.
Location of the El Palmar and Verde Chico projects relative to the giant Llurimagua, Alpala and Tandayama- America (Cascabel project) porphyry deposits, and the Toachi fault system. Also shown are the concessions held by ENAMI that surround Llurimagua, and which Hanrine (a subsidiary of Hancock Prospecting) have committed to spend US$120 million to earn 49%.
The company also outlined a high-conviction Exploration Target of 15–45Moz AuEq at El Palmar, comprising 1.0–1.2Bt at 0.3–0.7g/t gold and 0.1–0.3% copper for contained metal of 10–27Moz gold and 1.0–3.7Mt copper, highlighting district-scale potential subject to further drilling.
Corporate
Sunstone ended the quarter (September 30, 2025) with cash of $2.2 million. Shareholders exercised $1.6 million of options during the period, issued under the September 2024 placement and October 2024 SPP. Subsequent to quarter-end, a further 39 million options were converted at $0.0075 for approximately $0.3 million.
The company notes 259 million in-the-money options remain outstanding (indicative value ~$1.9 million) and has invited holders seeking conversion details to contact info@sunstonemetals.com.au.