Iltani Resources (ASX: ILT) has continued its focus on exploration and development of the Orient silver-lead-zinc-indium project, which sits within the larger Herberton project in northern Queensland.
The company completed 2,812 metres of drilling during the December quarter to build on a maiden resource estimate for Orient East and Orient West of 62.5 million tonnes grading 81.5 grams per tonne silver equivalent (AgEq) at a 30g/t cut-off.
The campaign involved 13 reverse circulation and two diamond holes of extension, versatile time domain electromagnetic (VTEM) target, and metallurgical test work drilling to demonstrate the potential or materially increasing the resource and generating 120 kilogram core samples for testing.
Extension drilling returned multiple wide intersections of high-grade silver-indium mineralisation with highlights of 7m at 113.7g/t AgEq from 127m including 5m at 148.4g/t AgEq from 129m downhole, along with 8m at 163g/t AgEq from 150m including 5m at 229g/t AgEq from 153m and 3m at 302.3g/t AgEq from 154m down-hole.
Other best assays were 20m at 104.3g/t AgEq from 140m including 5m at 261.8g/t AgEq from 142m, 3m at 355.1g/t AgEq from 144m and 1m at 588.2g/t AgEq from 144m.
Following-Up VTEM Anomalies
Iltani launched an additional 10-hole program to target multiple shallow anomalies identified in the VTEM work.
However, inclement weather conditions saw only three holes completed, with best results of 1m at 317.8g/t AgEq from 34m, 9m at 68.6g/t AgEq from 54m including 4m at 97.6g/t AgEq from 54m, and 14m at 113.1g/t AgEq from 90m including 4m at 258.4g/t AgEq from 96m and 2m at 371.6g/t AgEq from 97m.
One of the holes targeting a north-northeast-south-southwest-oriented VTEM plate intersected a significant zone of mineralisation with no obvious surface expression at 4m depth, which Iltani said could represent the eastern extension of Orient North.
Iltani also commenced a mining concept study during the period to provide a high-level assessment of Orient’s mining potential and project configuration.
The study will contain estimated mineable inventories and open-cut extents based on the current resource model, a conceptual mining and infrastructure layout including pit limits, waste dump and tailings storage locations, a conceptual production profile, and a roadmap for advancing the project towards a scoping study.
Recent QCMBTF Investment
During the quarter just ended, Iltani received an $8 million investment from the Queensland Investment Corporation Critical Minerals and Battery Technology Fund (QCMBTF) to accelerate the Orient project and support the 2026 field season including a 16,000m drilling campaign.
The investment comprised $6m in upfront, non-dilutive funding tied to royalties based on future product sales and a $2 million equity investment.
Iltani’s drilling campaign will test strike and depth extensions to expand the current resource base at Orient and test zones associated with historic workings at Orient North and Vein 1, where Iltani’s reconnaissance holes have previously intersected significant mineralisation.
At the end of the December quarter, Iltani had a cash balance of $8.64m and a total 74.7 million shares on issue.
