New Murchison Gold Reports 47% Resource Increase and Expands Production with Cloudkicker Pit Launch

Resource Growth Bolsters Multi-Project Development at Garden Gully Gold Project

New Murchison Gold’s latest update marks a strategic milestone with a 47% increase in the Mineral Resource Estimate for the Garden Gully Gold Project, raising the total resource to 4.42 million tonnes at 2.5 g/t Au for 359,000 ounces of contained gold as at 1 April 2026. This growth was achieved despite mining depletion from ongoing Crown Prince operations, highlighting strong exploration success and geological potential across the portfolio. The revised estimate provides enhanced geological confidence to support near- and medium-term production planning.

This resource expansion directly influences the company’s development strategy, enabling simultaneous advancement of three major projects: the Cloudkicker open pit, Crown Prince Underground study, and Lydia open pit project. CEO Alex Passmore emphasized that robust operating cash flows are facilitating this multi-project progression, with the Crown Prince Underground study targeted for completion in September 2026. This approach positions New Murchison Gold to sustain and potentially accelerate production beyond 2027 by leveraging the expanded resource base.

Crown Prince Gold Mine Achieves Strong June Quarter Production and Cash Generation

In the quarter ending 30 June 2026, Crown Prince Gold Mine met key production targets, demonstrating operational maturity and effective asset management. The mine crushed 164,988 tonnes of ore to stockpile and sold 156,367 tonnes at 3.2 g/t Au, containing 15,455 ounces of gold. Since ore sales commenced ten months ago, the mine has delivered a total of 58,183 ounces of gold to Big Bell Gold Operations, establishing a consistent production record.

New Murchison Gold recorded a $46.1 million cash build during the quarter, bringing total cash reserves to $201.7 million. This strong cash position reflects the operation’s economic viability amid current gold prices, with an attributable gold bullion price of A$6,349 per ounce under the offtake agreement versus an all-in sustaining cost of A$3,448 per ounce. The absence of debt and hedging grants the company maximum flexibility to fund growth initiatives and manage commodity price volatility, underpinning capital deployment for exploration and development.

Cloudkicker Open Pit Start Enhances Production Flexibility and Oxide Ore Supply

Mining at the Cloudkicker open pit commenced in late June 2026, marking New Murchison Gold’s second active mining operation within the Garden Gully project. Located adjacent to the Crown Prince open pit but classified as a separate deposit, Cloudkicker was included in the M51/886 mining approval, allowing immediate extraction. This decision follows successful exploration drilling and a positive updated Mineral Resource Estimate released on 25 June 2026, reporting 31,500 contained ounces of gold with 80% in the indicated category.

Cloudkicker supports a critical operational transition at Crown Prince, where mining is shifting from oxide to fresh rock. The pit provides a new oxide ore source to maintain processing throughput flexibility. Current inventory includes 365 kilotonnes at 1.73 g/t Au for 19,334 ounces of gold, with a strip ratio of 8.1 waste to ore. Exploration results released on 14 July 2026 support this inventory and indicate growth potential. The two-stage open pit operation is planned through Q3 2027, utilizing existing infrastructure and mining contractor Ozland Mining Services Pty Ltd.

Drilling Success at Cloudkicker Indicates Potential Beyond Current Pit Design

High-grade drilling results beyond the current Mineral Resource Estimate at Cloudkicker suggest additional mineralisation potential. These findings indicate the possibility of expanding the pit design and mining inventory as exploration and geotechnical data improve. This near-mine success is significant given its proximity to processing infrastructure and established operations, enabling rapid integration of new resources.

Cloudkicker’s exploration is part of a broader program across Garden Gully, with ongoing drilling at Airstrip and Abernethy South corridor prospects progressing well. Combined, these efforts position the company to extend Crown Prince’s mine life and production profile beyond current reserves. An updated Crown Prince resource and reserve estimate is scheduled for late September 2026, incorporating recent drilling results and refining mineral endowment estimates.

Strong Safety Record and Environmental Compliance in June Quarter

New Murchison Gold achieved zero lost time injuries during the June quarter at Crown Prince Gold Mine, with a Lost Time Injury Frequency Rate (LTIFR) of zero and a 12-month rolling Total Recordable Injury Frequency Rate (TRIFR) of 6.83. This reflects effective safety management and operational discipline.

Environmental management met required standards, with no significant incidents reported. The successful heritage clearance in late June 2026, enabling Cloudkicker mining, demonstrates the company’s engagement with Indigenous stakeholders and compliance with Western Australia’s regulatory framework. The Garden Gully project is located 36 kilometres north of the Bluebird Mill.

Mining Progress Supports Production Targets Through 2027

Total material movement in the June quarter reached 1,697,643 bank cubic metres, a 6% increase from the prior quarter, driven by intensified waste stripping at Crown Prince Stage 2 pit. This accelerates the mining schedule, aiming for the Stage 1 and Stage 2 pit bases to meet in September 2026. Good pit conditions allowed Stage 1 pit extension approximately 10 metres below the Feasibility Study plan, optimizing ore extraction.

Mining extracted 150,837 tonnes of ore at 3.2 g/t Au for crushing, plus 10,357 tonnes of low-grade material stockpiled for future use. Total contained gold mined was 15,853 ounces (15,475 ounces in primary ore and 378 ounces in low-grade material), with waste mining totaling 1,610,888 bcm. Planned waste stripping at Crown Prince Stage 2 and Cloudkicker is forecast to increase gold production in 2027. The addition of a third dig fleet by Ozland Mining Services Pty Ltd supports this production growth.

Robust Financial Position Backed by Strong Operating Margins

New Murchison Gold’s financial health improved significantly during the quarter, driven by stable Crown Prince production and favorable operating margins. The attributable gold price of A$6,349 per ounce under the offtake agreement exceeded the all-in sustaining cost of A$3,448 per ounce, providing substantial financial flexibility for reinvestment and cash reserve growth.

The $46.1 million cash build brought total cash reserves to $201.7 million, with no debt or hedging. This unhedged position allows full exposure to gold price upside while eliminating near-term refinancing or dilution risks. The company’s capital structure includes 10,864 million shares valued at approximately $467 million based on a $0.043 share price. Strong cash flow and asset-backed valuation support executing the multi-project development strategy.

Development Pipeline Nears Key Decisions by September 2026

Beyond Crown Prince and Cloudkicker, New Murchison Gold is progressing technical and economic studies on the Crown Prince Underground and Lydia open pit projects, both targeting development decisions in late September 2026. CEO Alex Passmore confirmed the Crown Prince Underground study is on track for completion within this timeframe. Advancing these projects concurrently reflects confidence in the resource base and financial capacity to support multi-project development.

These initiatives offer significant value creation potential. Underground mining could access deeper mineralisation and extend mine life beyond open pit depletion, while Lydia open pit could leverage existing infrastructure. The strong cash generation and zero debt enable simultaneous project advancement. The September 2026 milestones will provide important investor insights into project feasibility and economics.

Market Overview and Share Price Status

At the update, New Murchison Gold’s share price was A$0.043, valuing the company at around $467 million based on 10,864 million shares outstanding. The immediate market reaction to the quarterly report was not clearly indicated. The valuation reflects the company’s status as an operational gold producer with a growing resource base, solid cash flow, and a clear development pipeline. Investors typically value such companies based on operational cash yield, resource growth, and production visibility.

The 47% resource growth post-mining depletion, Cloudkicker mining commencement, and advancement of underground and open pit studies represent strong operational and exploration momentum likely to attract investor interest. The robust cash position and debt-free capital structure reduce financial risks common in junior mining companies. Market focus will likely center on quarterly production trends, updated reserve estimates due in September 2026, and the economics of the Crown Prince Underground and Lydia projects.