Red Mountain Mining Ltd (ASX:RMX) Announces Discovery of Gold Nuggets at Kiabye Gold Project

23 June 2025

Price Sensitive Announcement $

Highlights:

• Multiple Gold Nuggets recovered near a Quartz Reef at the Kiabye Gold Project
• Quartz Reef and surrounding area will be systematically sampled, with a detailed
  follow-up program to determine whether the reef is linked to the Alluvial Gold
• RMX is currently drilling at the Kiabye Gold Project across two magnetic features
  and anomalous gold in soil targets
• Armidale Antimony-Gold Rock Chip assay results are due to be released by the end
  of this month

Overview:

Red Mountain Mining Limited has reported the discovery of eleven alluvial gold nuggets during the Company’s 1,000m RC drilling program at the Kiabye Gold Project. The gold was discovered by Red Mountain’s geology team using a metal detector during operations in the Reef 1 area, where a quartz reef is exposed near a major structural intersection. The site is located at the convergence of a NE–SW fault and a NW–SE fault within the basal units of the Narndee Igneous Complex layered intrusions (see Figure 2)

Red Mountain Discovers Gold Nuggets at Kiabye Gold Project

Red Mountain Mining’s geological team recovered eleven alluvial gold nuggets using a metal detector in the Reef 1 area, where a quartz reef is exposed. The discovery was made during a rain delay at the current drill program at the Kiabye Gold Project. The site is situated near the intersection of a NE–SW trending fault and a NW–SE fault within the basal units of the Narndee Igneous Complex layered intrusions (see Figure 2). The gold is alluvial in nature (Figure 1), and while its direct source has not yet been confirmed, it occurs in close proximity to known structural features and quartz veining. Notably, soil sampling nearby has returned anomalous gold values, including 9 ppb Au, and the Reef 1 area has previously reported gold-in-soil anomalies (ASX Announcement 14 November 2024).

As part of RMX’s ongoing exploration efforts, a follow-up program is now planned, which will include the quartz reef adjacent to the alluvial gold discovery to be geologically mapped and sampled along strike, with multiple samples expected to be collected as part of a systematic program scheduled to commence next month.

The Company also looks forward to providing further updates as the drill program finalises across priority target areas at the Kiabye Gold Project.

Kiabye Drilling
Red Mountain is undertaking a 1000m slim-line RC drilling program over the Northern and Southern targets at the Kiabye Gold Project, collar positions are summarised in Table 2 and shown in Figure 3.

Kiabye North
Interpretation of high-resolution ground magnetic data (ASX Announcement 28 April 2025) at Kiabye North identified two prominent NE trending linear magnetic anomalies, Figure 4. These anomalies have been interpreted to correlate with southeasterly dipping magnetite-bearing quartz vein systems, a key structural control for gold mineralisation in the region. RMX is drilling to test these two interpreted dipping magnetic structures.

Kiabye South
Red Mountain had previously completed a rock chip and soil sampling program at Kiabye South, across the central portion of the Kiabye Greenstone where a 2,500m long North-South magnetic linear target exists. The soil results indicated several anomalous gold-in-soil samples coincide with the N-S magnetic feature, considered a possible demagnetised zone associated with an interpreted shear/fault zone where the anomalous gold possibly represents mineralised leakage points along the structure (ASX Announcement 14 November 2024).

This linear target also hosts the historical shallow RAB drill hole (N15 from 14m) reporting 1m@ 3.45 g/t Au in the last metre of the hole and is located where the surface rock sample produced 0.728 g/t Au (ASX Announcement 5 August 2024). The presence of gold at the bottom of the hole is highly encouraging and drilling beyond the historical depth will test if the gold bearing quartz veining or mineralised contact extends deeper.

Four drill holes are planned as part of the current drill program to test this structure and validate the historical RAB gold assay. The current Kiabye drilling program will be finalised with assaying any anomalous down hole intersections that host quartz and possibly gold. It is expected that the assays will be turned around in 4 weeks from submission to the laboratory after the Kiabye drill program has completed.

Full ASX Announcement: Red Mountain Mining Ltd ASX Announcement