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Orbminco Limited (ASX:OB1) has successfully completed all three phases of its resource drilling program at the wholly owned Majestic North Gold Project, located in Western Australia's Eastern Goldfields, roughly 65 kilometres southeast of Kalgoorlie. Phase 1 metallurgical testing has verified that the ore is free-milling and amenable to recovery through conventional cyanide leaching. The company is progressing as planned to submit a Mining Development and Closure Proposal (MDCP) to the Department of Mines, Petroleum and Exploration in early September 2026, with a final investment decision anticipated within the same period.
Key Highlights
- Orbminco Limited (ASX:OB1) operates the Majestic North Gold Project in Western Australia's Eastern Goldfields region
- Completion of all three resource drilling stages, with Stage 1 infill results announced on 29 June 2026 showing shallow, high-grade gold intersections aligned with the resource model
- The inaugural Mineral Resource Estimate (23 March 2026) reports 1.37 million tonnes at 1.14 g/t Au, containing approximately 50,400 ounces of gold, including a higher-grade Stage 1 domain of 249 kt at 2.42 g/t Au for about 19,300 ounces
- Advancements in permitting and environmental activities, including lodging a groundwater licence application and completing baseline flora and fauna surveys
- Exploration of Stage 1 selective mining through toll treatment or direct ore sale, with Stage 2 evaluating on-site processing alternatives
Completion of Resource Drilling Program and Grade Validation
Orbminco has concluded all three stages of its resource drilling campaign at Majestic North, providing essential data for mine planning. The program included infill drilling, structural junction and extension drilling, and one deep basement hole. Stage 1 infill results, released on 29 June 2026, revealed shallow, high-grade gold intersections consistent with the geological framework supporting the initial resource estimate. Final assay results from junction and basement holes are pending laboratory analysis, with updated internal block modelling to follow once received.
The maiden Mineral Resource Estimate, announced on 23 March 2026, details 1.37 million tonnes at 1.14 g/t Au, equating to roughly 50,400 contained ounces at a 0.5 g/t Au cut-off. This includes 966 kt classified as Indicated and 409 kt as Inferred. The higher-grade Stage 1 domain, critical for immediate development, comprises 249 kt at 2.42 g/t Au, approximately 19,300 ounces at a 1.5 g/t Au cut-off, with 171 kt Indicated at 2.3 g/t Au and 78 kt Inferred at 2.6 g/t Au. This estimate is based on a 132-hole, 7,343-metre reverse circulation infill drilling program and serves as the geological foundation for all downstream development activities. Should final assay results materially alter tonnage or grade, a revised internal block model and updated Mineral Resource Estimate will be issued.
Metallurgical Testing Affirms Free-Milling Ore and Conventional Processing Viability
Phase 1 metallurgical testwork on representative ore composites confirms that Majestic North ore is free-milling, with gold recoverable via conventional cyanide leaching. The testing program assessed gold recovery through sample preparation, head assays, comminution tests, gravity recovery, and cyanide leach procedures. Gold recovery rates—a key factor in processing pathway decisions and financial modelling—show no significant processing challenges related to proposed ore sale agreements, bolstering the feasibility of the Stage 1 development plan.
An independent metallurgical review of Phase 1 results is underway, with a metallurgical package being finalized for discussions with potential ore purchasers. Additional testing will define grind parameters, reagent consumption, and recovery metrics for each processing option under consideration. This data supports both toll treatment and direct ore sale negotiations with existing mill operators in the region, enabling monetization of the Stage 1 resource without the capital and regulatory demands of building and permitting an on-site milling facility.
Advancement in Pit Optimisation and Mine Design for Stage 1 Production
Pit optimisation efforts are translating the Mineral Resource into multiple optimised pit shells, evaluated across various gold price and operating cost scenarios. This analysis identifies the optimal pit configuration to guide mine design, production scheduling, and revenue forecasting for financial modelling. A Stage 1 mine plan has been developed, subject to refinement based on recent drilling outcomes and third-party feedback on ore sale or commercial arrangements.
The conceptual development strategy involves two open-pit mining stages. Stage 1 focuses on selective mining within the shallow, higher-grade domain of the Mineral Resource, targeting the 249 kt domain at 2.42 g/t Au for about 19,300 ounces. This approach aims to maximize early production value through toll treatment or direct ore sale, circumventing the capital and regulatory complexities of on-site processing infrastructure. Stage 2 plans center on exploiting the broader orebody, with ongoing evaluation of on-site processing options to unlock value from the full 1.37 Mt resource.
Geotechnical Studies Optimize Pit Wall Angles and Mining Efficiency
Geotechnical drilling and laboratory analyses have established pit wall angles that influence waste-to-ore ratios and mining costs per ounce. Steeper pit walls reduce strip ratios and mining expenses, whereas shallower angles increase waste movement and prolong mining schedules. Completed geotechnical logging, testing, and stability analyses confirm wall-angle and closure-batter parameters incorporated into mine and waste-dump designs.
This technical work ensures pit configurations maintain safety factors while optimizing strip ratios to support the financial case. The geotechnical results integrate with mining studies to produce a robust pit design for inclusion in the MDCP documentation. Confirming these parameters reduces technical uncertainties regarding mining feasibility and cost estimates as the project advances toward the final investment decision and regulatory submission targeted for early September 2026.
Environmental and Permitting Progress on Track
Significant progress has been made in permitting and environmental assessments, with key applications submitted and baseline surveys completed. The groundwater licence application has been filed with the appropriate authority, forming the basis for water management in environmental approvals. Baseline flora and fauna surveys across the project area provide essential ecological data supporting environmental assessments and regulatory filings. Waste characterisation sampling is ongoing to define the geochemical properties of waste rock, informing environmental management and closure planning.
These environmental and permitting efforts proceed alongside technical workstreams under the guidance of Goldfields Technical Services (GTS), a Kalgoorlie-based open-pit mining firm with extensive experience across Western Australian gold projects, supported by specialist local consultancies. Together, these teams deliver pit designs, recovery data, processing pathways, permit packages, and stakeholder engagement to underpin both the MDCP submission and the company’s investment case. Coordination of ten parallel workstreams—including resources, metallurgy, mining, geotechnical studies, hydrology, processing, infrastructure, environmental and social assessments, and financial modelling—ensures alignment with the submission timeline.
Financial Modelling and Investment Case Refinement
As each workstream concludes, modelling assumptions are replaced with verified data, narrowing forecast cost and revenue ranges. The financial modelling integrates resource estimates, pit optimisation, metallurgical recoveries, geotechnical mining costs, hydrogeological water management, and processing pathway choices to build a comprehensive investment case. This integrated approach enables robust sensitivity analyses across various gold price and cost scenarios, supporting the final investment decision.
The Stage 1 development plan aims to generate early cash flow through toll treatment or ore sales, reducing capital requirements and minimizing execution risks compared to a fully integrated mining and milling operation. This strategy preserves flexibility for Stage 2 development, allowing evaluation of on-site processing once Stage 1 operations and market conditions are better understood. Financial modelling will underpin board approval for the final investment decision and the MDCP regulatory submission in early September 2026.
Experienced Technical Team Driving Development Program
Orbminco has engaged Goldfields Technical Services (GTS), a Kalgoorlie-based open-pit mining group with proven experience managing multiple Western Australian gold assets through discovery, resource definition, regulatory approvals, financing, and mining operations. This expertise informs the structure and execution of the ten-workstream development program designed to deliver the MDCP and final investment decision on schedule.
Supporting the company are specialist Western Australian consultancies covering hydrology, geotechnical analysis, environmental assessment, and mining engineering. This blend of local operational knowledge and technical expertise positions Orbminco to effectively navigate regulatory and technical challenges in advancing Majestic North toward production. Chairman Duncan Gordon stated that the program initiated in May 2026 is progressing steadily, remaining on track regarding budget and timing, reflecting confidence in the technical approach and delivery team capabilities.
Ongoing Commercial Negotiations with Potential Ore Buyers
Orbminco is finalizing discussions with operators of existing mills interested in purchasing Stage 1 ore outright. These negotiations are expected to conclude with a mining decision and development application submissions in the upcoming quarter. The metallurgical confirmation of free-milling ore recoverable by conventional cyanide leaching, combined with the shallow, high-grade Stage 1 domain, positions Majestic North ore as an appealing feedstock for toll milling operations in the Eastern Goldfields.
This commercial approach enables orebody monetization without the capital expenditure and permitting complexity of establishing on-site processing facilities. Direct ore sale or toll treatment agreements also reduce technical and capital demands for Stage 1, improving project risk profile and capital returns. The development program has been structured to support these commercial discussions, with metallurgical data and mine design ready for potential purchaser engagement. Resolution of these talks is anticipated to support the board’s final investment decision in early September 2026.
Scheduled MDCP Submission in Early September 2026
Orbminco remains on track to submit its Mining Development and Closure Proposal (MDCP) to the Department of Mines, Petroleum and Exploration (DMPE) during the first week of September 2026. The MDCP consolidates outputs from all ten development workstreams into a comprehensive regulatory submission for Western Australia’s mining regulator. This includes pit designs, processing pathways, environmental management plans, closure and rehabilitation strategies, and financial modelling supporting the investment case.
The MDCP submission is timed to coincide with the final investment decision, enabling the company to seek board approval for development expenditures and immediately proceed with regulatory applications. This schedule reflects expectations to finalize commercial agreements with ore purchasers and complete outstanding technical workstreams in the coming quarter. Following submission, the MDCP will enter regulatory review, with approvals expected to facilitate project financing and development execution.
