New figures feed into Steam Engine feasibility study

Superior Resources is preparing to update the mineral resource estimate for its Steam Engine gold project as the final results come in from a 69-hole reverse-circulation drilling program carried out last year. The program was designed to extend the 196koz mineral resource along strike at the Steam Engine and Eastern Ridge lodes and test the new Windmill East prospect within the North Queensland project. Superior said the new assays confirmed strong near-surface mineralisation, complimenting earlier high-grade results. Results include: 18m at 1.40g/t gold from 75m depth, including 6m at 2.68g/t gold from 85m at Steam Engine lode 7m at 1.41g/t gold from 5m depth, including 1m at 2.38g/t gold from 8m at Eastern Ridge lode A feasibility study underway will factor in mineral resource upgrades stemming from the work. Superior managing director Peter Hwang said the company expected the overall results of the 2024 program to significantly boost the overall financial outcomes of the Steam Engine project, particularly when combined with the record rise in the price of gold over the last 12 months. He said the current price was almost 50 per cent, or $1600 per ounce, higher than the price assumption in the 2024 Steam Engine scoping study. Mr Hwang said the flow of results from the 2024 drilling program had been affected by the recent closure of SGS Australia’s Townsville lab. "Once assays for the remaining 14 holes have been received, we will be updating the mineral resource estimate, the results of which will feed into the current feasibility study," he said. "In the meantime, with the expectation that record gold prices will be sustained at least over the medium term, we are updating the financial model with a substantially higher gold price assumption. “As we have expected, the 2024 resource extension drilling has shown that the Steam Engine lode systems are laterally extensive and demonstrate the potential for significant mineral resource growth along strike. "Extension of near-surface resources is important as it enables expansion of the pit design, enabling very significant increases in the scale of mining operations and project economics. "The current batch of assays have certainly strengthened the resource over 250m of strike at the northern ends of the gold lodes. "Results for the remaining 14 holes will be interesting as they include a series of holes over a SAM anomaly at the southern end of Eastern Ridge and maiden drilling at the Windmill East prospect, located 2.5km south of Eastern Ridge. "The most anticipated targets, being the SAM targets at the southern end of the Steam Engine lode and between the two lodes, are yet to be drill tested. These are being programed for the 2025 field season together with exploratory drilling along the several kilometres of mineralised structure outside the resource envelope."

New figures feed into Steam Engine feasibility study

Industry Queensland

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