Union Star Metals Identifies Central Concealed Gold Target at Cobb Creek Project, Nevada

Location and Regional Significance of Cobb Creek Gold Project

The Cobb Creek Gold Project, owned by Union Star Metals, is strategically located within Nevada's prolific Independence Trend gold district, which hosts several major deposits and active mines. Positioned immediately north of Western Exploration's Aura Project and along the same regional structural corridor as the Gravel Creek and Doby Gorge gold deposits, Cobb Creek lies approximately 30 km south of First Majestic's Jerritt Canyon Mine and 35 km north of the Big Springs Mine, placing it in a district known for large-scale gold mineralisation.

Historical exploration at Cobb Creek has revealed widespread gold mineralisation, including at the McCall deposit. However, past drilling was mostly shallow, leaving the potential beneath volcanic cover largely unexplored. This geological setting—with shallow volcanic cover over mineralised basement rocks—has become a primary focus of recent technical work and presents a significant opportunity to discover a concealed mineral system.

Integrated Data Interpretation Defines Central Concealed Target

The key achievement in the June 2026 quarter was defining the Central Concealed Target beneath shallow volcanic cover in the central Cobb Creek area. This target is supported by the convergence of multiple independent exploration datasets, indicating several lines of geological evidence align on the same location. This convergence method is recognized as a robust strategy to identify high-priority exploration targets and reduce drilling risk.

The Central Concealed Target is characterized by a significant gravity low interpreted to represent concealed geology beneath volcanic cover, a broad annular thallium geochemical anomaly, favourable structural corridors for mineralising fluid pathways, and historical gold occurrences with shallow drilling around the target edges. The company emphasized that the alignment of these features strongly supports systematic follow-up exploration, noting that historical drilling did not sufficiently test the source of geophysical and geochemical anomalies, leaving substantial exploration potential untapped.

Geophysical and Geochemical Support for the Concealed Target

Union Star Metals' identification of the Central Concealed Target is based on geophysical and geochemical analyses revealing patterns consistent with a large gold mineralisation system. Gravity data indicated a pronounced gravity low beneath volcanic cover, interpreted as concealed geology potentially linked to mineralisation. Such gravity anomalies often signify density contrasts from alteration halos, structural zones, or mineralised bodies, making them valuable for blind exploration where surface features are obscured.

Complementing gravity data, surface geochemistry detected a broad annular thallium anomaly across the target area. Thallium anomalies commonly associate with epithermal gold systems, where thallium integrates into minerals within geochemical halos surrounding ore deposits. The spatial correlation between the thallium anomaly and gravity low independently confirms the target area's exploration priority. This integrated data interpretation exemplifies a methodical approach to target generation that prioritizes risk reduction before committing to drilling.

Structural Framework and Mineralisation Controls at Cobb Creek

During the June quarter, Union Star Metals refined its geological and structural model of Cobb Creek by integrating historical drilling, surface geochemistry, gravity data, and regional geology. This effort aimed to enhance understanding of mineralisation controls and improve the geological model. The company shifted focus from isolated historical prospects to a broader mineralised system potentially extending beneath cover, marking a significant evolution in project conceptualization.

Key to the Central Concealed Target definition is the identification of structural corridors interpreted as favourable pathways for mineralising fluids. Such corridors often channel hydrothermal fluids responsible for gold deposition, making them critical to understanding deposit distribution. By combining structural data with other datasets, Union Star Metals established a clearer framework to prioritize exploration spending based on geological insight rather than speculative drilling.

Planned Deep Induced Polarisation Survey Prior to Maiden Drilling

Instead of immediate drilling, Union Star Metals is evaluating deep-looking induced polarisation (IP) geophysical surveys to better understand the Central Concealed Target before commencing maiden drilling. IP surveys measure electrical rock properties and can detect sulphide mineralisation zones at depth, especially useful for concealed systems with limited surface expression. The company stated this aligns with its strategy of focused technical work to enhance target quality, reduce exploration risk, and optimize drilling investment.

This disciplined exploration approach reflects the company's philosophy that success arises from geological understanding and capital allocation to the most promising targets. Conducting additional geophysical surveys before drilling aims to maximize exploration budget value and improve the chances of testing the most prospective target areas. This method follows best practices where technical refinement precedes drilling to boost discovery potential.

Permitting and Environmental Progress Supporting Exploration

Alongside technical advances, Union Star Metals continued permitting and environmental activities at Cobb Creek during the June quarter. These are essential prerequisites for exploration drilling, ensuring systematic progression to fieldwork. Permitting in Nevada involves coordination with state and federal agencies to secure approvals for drilling, environmental assessments, and monitoring exploration impacts. The company did not disclose specific timelines or milestones in this update.

Ongoing permitting and environmental efforts demonstrate active engagement with regulators and progress toward the next exploration phase. Successful permitting is critical for exploration companies in regulated jurisdictions, and Union Star Metals’ continued work indicates readiness to proceed with maiden drilling after completing the planned geophysical survey.

Strategic Portfolio Optimization and Cost Reduction Initiatives

Union Star Metals has advanced portfolio optimization by proposing divestments of non-core Australian and Brazilian assets, sharpening its focus on U.S. precious metals exploration. Following quarter-end, the company announced the proposed sale of the Scanty Rare Earth Project, further streamlining its portfolio. These actions form part of a broader strategy to simplify operations and concentrate resources where shareholder value can be maximized.

The company noted that these portfolio rationalization measures, along with other initiatives over the past year, have substantially lowered monthly operating costs by eliminating expenses tied to non-core assets, office facilities, and corporate overheads. As a result, Union Star Metals is now leaner with a reduced cost base, enabling more capital allocation toward advancing U.S. precious metals projects. This cost-efficiency supports extending the exploration program and prioritizing the Cobb Creek project without immediate capital raising.

Transformation and Strategic Focus Under New Leadership

The CEO stated that Union Star Metals’ transformation is largely complete after six months of restructuring. The company is now "a very different company from the one we inherited, with a defined strategy, a focused asset base and a clear path forward." This transformation included shifting focus to high-quality U.S. precious metals opportunities and simplifying the portfolio. Previously operating as PVW Resources Limited, the company has undergone significant corporate change.

The CEO emphasized that the company’s priority is not "to drill for the sake of drilling," but to achieve exploration success through geological understanding and targeted capital deployment. This philosophy guides the disciplined exploration approach at Cobb Creek, focusing on refining models and identifying top-priority targets for upcoming exploration. The strategy prioritizes discovery potential and resource efficiency over rapid drilling.

Investor Relations and Corporate Communication Efforts

Union Star Metals has enhanced investor engagement via updated corporate presentations, targeted media coverage, investor meetings, and ongoing market communication supporting its U.S.-focused exploration strategy. These efforts aim to ensure investors understand the company’s direction, appreciate its asset quality, and recognize progress at Cobb Creek. Specific details on presentation timing or venues were not disclosed.

Effective communication is key to maintaining shareholder support and facilitating potential future capital raises. By transparently sharing technical achievements, strategic plans, and exploration progress, Union Star Metals seeks to build investor confidence and position itself favorably as it advances the Cobb Creek project. The company intends to maintain regular dialogue with the investment community throughout the exploration program.

Technical Work Minimizes Exploration Risk Ahead of Field Activities

Union Star Metals’ advancement of Cobb Creek reflects a commitment to minimizing exploration uncertainty through integrated technical analysis before significant drilling investment. Instead of drilling targets individually or for activity alone, the company leverages datasets to reduce uncertainty and focus capital on the most promising areas. This disciplined capital allocation underscores the value of pre-drilling technical work in identifying optimal drilling locations.

The Central Concealed Target’s identification is a direct result of recent technical efforts, reinforcing the company’s belief that Cobb Creek may host a larger mineralised system than previously recognized. This shift—from viewing Cobb Creek as a site of isolated discoveries to a potential large concealed system—marks a major evolution in project understanding and will influence the scale and scope of future exploration. The expanded perspective provides clear focus for drilling, ensuring efforts target the highest discovery potential zones.