Exultant Mining Initiates First Drilling at Balerion Prospect in NSW, Discovers Sulphide Mineralisation

NSW Regulatory Approval Enables Start of Balerion Maiden Drilling Program

During the June 2026 quarter, Exultant Mining progressed its Peak View Project by obtaining drilling approval from the NSW Resources Regulator and initiating its first systematic drilling campaign at the Balerion Prospect. The approved program consists of 12 reverse circulation holes totaling 3,425 metres. This marks a transition from geophysical target identification to active drill testing, representing the first comprehensive drill evaluation of targets generated through Exultant’s integrated modern exploration techniques.

The drilling targets undrilled geophysical and geochemical anomalies as well as potential extensions of historical high-grade mineralisation. Site preparations were completed during the quarter, with drilling commencing immediately after final approval. This rapid progression from target definition to drilling commencement within the same reporting period highlights the company’s efficient navigation of regulatory processes. The Balerion Prospect was the primary focus of exploration resources during this period.

Balerion Prospect Renamed to Reflect Drill-Ready Status Advancement

Following its advancement to drill-ready status, the Peak View Prospect was formally renamed the Balerion Prospect during the quarter. This change reflects its progression from initial target generation and geophysical characterization to a drill-tested exploration target. The overall Peak View Project name remains unchanged, with Balerion designating a specific prospect within the larger project area. Such renaming is common as prospects advance through exploration stages and justify dedicated identification.

The renaming followed integration of recent soil geochemistry, induced polarisation, ground gravity, magnetic, and historic drilling data. Target ranking and drillhole design processes identified multiple high-priority targets with distinct geophysical and geochemical signatures supporting the drilling rationale. The Balerion name has been adopted in company communications and market updates, with all subsequent drilling program descriptions and results reported under this designation.

Integrated Geophysical Surveys Define High-Priority Drill Targets at Balerion

Exultant Mining’s exploration success at Balerion was driven by integrated geophysical surveys completed during the quarter, including induced polarisation and ground gravity measurements. The dipole-dipole induced polarisation survey comprised four east-west lines, each 1.6 kilometres long, spaced 200 metres apart with 50-metre electrode spacing. The ground gravity survey included 136 stations on a 100-metre by 100-metre grid. These surveys targeted a previously identified 900-metre-long copper-lead-zinc-silver-gold soil anomaly and refined drilling targets.

The integrated data revealed multiple high-priority zones, including a western chargeability anomaly coincident with a 1.1-kilometre gravity high adjacent to the Peak View Thrust. A strong coincident chargeability and resistivity high was detected beneath the widest part of the multi-element soil anomaly. Additionally, resistivity-low anomalies were identified down-dip of known massive sulphide mineralisation from historic drilling. The Peak View Thrust is interpreted as the southern extension of the Narongo Fault, which hosts the Captains Flat VMS deposit and other mineral occurrences along strike, providing geological context for the exploration model. The company cautions this regional comparison serves as context and does not guarantee mineralisation at Balerion.

Post-Quarter Drilling Confirms Sulphide Mineralisation at Balerion

After the June quarter, Exultant Mining announced that maiden drilling at Balerion intersected sulphide mineralisation, validating the geological targeting model ahead of laboratory assay results. Initial diamond drill holes intersected chalcopyrite, sphalerite, and galena mineralisation consistent with the targeting model. Diamond drilling on the first two holes provided structural control while testing the system for the first time. Management interpreted these early intersections as expected outcomes at this stage.

Following positive initial results, the company refined the positioning of the remaining five holes to target down-dip extensions of historic high-grade intercepts. At the time of reporting, laboratory assays were pending, with no assay grades or widths disclosed. Confirmation of sulphide mineralisation in early drilling bolstered confidence in the exploration methodology and supported continuation of the broader 12-hole program. The company committed to updating the market as assay results become available.

Black Hammer Project Expanded by Swatchfield Exploration Licence Grant

Exultant Mining enhanced its regional position at the Black Hammer Project in New South Wales through the grant of exploration licence EL9913 "Swatchfield" during the June 2026 quarter. This licence added approximately 53 square kilometres of prospective ground, expanding the total Black Hammer landholding to about 390 square kilometres across prospective Macquarie Arc geology. The expansion increases exposure to rock formations associated with the Isabella Granite contact and the historic Swatchfield Prospect.

The Swatchfield licence offers new targeting opportunities via access to gold-anomalous areas and historic exploration data. This expansion aligns with the company’s strategy to build a larger regional tenure position to develop multiple exploration targets within a defined geological belt. The Black Hammer Project now includes copper and gold targets, combining historic copper workings with newly acquired gold-anomalous zones within Macquarie Arc rocks, providing diverse exploration avenues under one management framework.

Historic Tuglow Drill Core Reveals Gold and Silver Anomalism in Quartz Veining

Post-quarter results from the Black Hammer Project revealed that previously unsampled historic drill core from Tuglow exhibited gold and silver anomalism in quartz veining, previously considered barren by earlier explorers. Prior exploration focused on high-grade sulphide mineralisation and did not assay quartz-hosted mineralisation, potentially overlooking a broader mineralised system. This discovery expands the understanding of the Tuglow system beyond historically mined sulphide deposits.

The finding highlights the prospectivity of the broader lode corridor at Tuglow. The company plans to follow up with additional drilling or sampling along this corridor. The presence of quartz-hosted gold and silver anomalism undetected in historic sampling suggests that earlier programs, while successful in identifying high-grade sulphides, did not fully evaluate all mineralisation styles. This represents a re-assessment of legacy geological data using modern analytical methods.

Financial Position and Capital Structure as of 30 June 2026

As of 30 June 2026, Exultant Mining had 37.4 million shares outstanding, with a share price of 16.5 cents, resulting in a market capitalisation of A$6.171 million. The company held A$3.5 million in cash reserves to fund ongoing exploration. Additionally, 7 million options were outstanding, exercisable at 30 cents over three years. The enterprise value was A$2.671 million, calculated as market capitalisation less cash. This capital structure outlines the company’s size and financial resources for exploration execution.

The A$3.5 million cash balance supports funding for exploration across Peak View and Black Hammer projects. The market capitalisation relative to cash and enterprise value reflects market valuation of the company’s assets and future potential. The 16.5-cent share price at quarter-end provides a baseline for tracking share price movements. The 7 million options represent potential dilution of approximately 18.7% if exercised.

Executive Leadership and Board Composition

Exultant Mining’s board includes Executive Chairman Brett Grosvenor, with Lincoln Ho and Alan Armstrong as Non-Executive Directors. Grosvenor commented on the June quarter, describing a busy period with ongoing significant news flow post-quarter. He highlighted the swift transition from target definition to drilling at Balerion and characterized the initial sulphide mineralisation intersections as the anticipated outcome at this stage. His remarks provide insight into the company’s exploration strategy and management’s interpretation of the maiden drilling significance.

Grosvenor expressed confidence in the exploration targeting methodology developed through integrated geophysical and geochemical surveys. He noted the ability to refine remaining drill holes onto down-dip extensions of historic high-grade intercepts, reflecting an adaptive approach to drilling based on initial results. His commentary on Balerion and Black Hammer results indicates active management engagement and a strategic outlook across multiple prospects. The board’s composition of one executive and two non-executives is typical for a junior exploration company of this scale.

Investor Outlook and Upcoming Milestones

Investors should monitor key milestones from this quarterly update, primarily the release of laboratory assay results from initial diamond drill holes at Balerion, which will provide detailed grade and width data for confirmed sulphide mineralisation. The company plans phased assay result releases as analyses complete. Completion of the remaining seven holes in the 12-hole Balerion program is another critical milestone, with results expected to be reported progressively.

Beyond drilling, investors may watch follow-up activities at Tuglow and expanded exploration at Black Hammer. Successful conversion of drill results into resource definition or extension drilling would be significant value inflection points. The timely and budget-compliant execution of the initial Balerion drilling, combined with positive mineralisation intersections, supports expectations of continued efficient exploration progress. Management indicates ongoing market updates will provide visibility of activities and results.